Testing the level...
The GBPUSD has taken a bit of a tumble in the last few minutes of trading and tests the 100 hour MA at 1.3926. The pair moved below the level after weaker PMI data today but reversed and rebounded higher. The move higher could not make it to the next key target at the 1.4040 level. So back down it has come. The close from yesterday at 1.3915.
Markets are more skittish today. The EURUSD took a look above the resistance at the 1.0878 only to also rotate lower and extend the trading range to the downside. The range is still relatively narrow at 41 pips (was 38 pips). Markit PMI at 9:45 AM (51.2 est) followed by ISM manufacturing at 10 AM (est 48.5). Ryan had a great post on the ISM global weakness which is worth a read.
