GBP/USD Down 10 Pips; Pin Bar Pattern Appearing on Chart

GBP/USD Price Recap

GBP/USD is down 10 pips (0.08%) since yesterday (with its current price near 1.28863), marking the 2nd day in a row a decrease has occurred. The price move occurred on stronger volume, as measured by the number of tick price changes; specifically, yesterday’s volume was up 21.89% from the day prior, and up 81.05% from the same day the week before. Relative to other instruments in the Forex asset class, GBP/USD ranked 24th yesterday in terms of percentage price change. The price chart of GBP/USD below illustrates.

GBP/USD Technical Analysis

Coming into today the current price of GBP/USD is sitting close to its 20, 50, 100 and 200 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 100 day average, which is 82.1 pips away. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving down. For additional context, note that price has gone up 7 out of the past 14 days. And for candlestick traders, a special treat: there is a pin bar pattern showing up on the charts as well. Rejoice!

The View From Around the Web

We’re seeing some traders come out with interesting conviction on GBPUSD, with 6 buy signals on our radar and 11 sell signals. This imputes a buy/sell ratio of 0.55, which is bearish. As for the rationale, technical traders seem to be citing the appearance of channel and wedge technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

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