It seems to me that GBPUSD
is gathering energy for the last move down - to reach the big-scale 50% reatrecement at 1.6522. The 1.66 key level has proved to be a strong resistance for the recent price action. Should it fail to hold though, price might get to the median line
, thus retracing 61.8% of the recent swing down. But the down trend is very strong. GBPUSD
has been in the strongest trend of all the majors. So the odds are rather with the sellers piling up their orders along the bear trend line
. The price distance to the target 50% retracement
is exactly as much as what market had made to the upside on Aug 20th, so 1.66 seems to be a balance line, along which the action to the upside is going to produce reaction to the downside. Let's see how it develops.
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