GBPUSD falls to test recent range lows once again

Author: Mike Paterson | Category: News

Range-trading abounds still as the week draws to a close 21 April

GBPUSD failed to really tumble after the weak UK retail sales data but the lack of rally back through 1.2800 has provided further follow through to post 1.2772 right on range lows.

I highlighted in the order boars yesterday and today and other comments that we're trading 1.2770-1.2850 with decent interest both ends.

With lower highs though I think the impetus is shifting to the downside again but we can't get excited while the range continues to hold.

If 1.2770 breaks I would expect some stop-loss triggering and look to test 1.2750 but given the sharp rise on Tuesday there's gaps to fill all the way to 1.2720, 1.2700, 1.2680 and indeed beyond.

Caution required still though and money to be made from playing the range but be ready to react if it breaks.