The price falls below its 200 bar moving average on the 4 hour chart at 1.2992
The GBPUSD is going into the week close with the pair extending to a new low. The pair just fell below its 200 bar moving average on the 4 hour chart at 1.29923 and scooted to a low of 1.29769. That is the lowest level since December 3.
For the week, the price high was made in the 11th hour of Monday’s trading at 1.3421. Each day moved lower.
The commitments of traders report that outline the speculative positions at the end the day on Tuesday, showed that the shorts in the GBP were nearly all squared up. Clearly the election results spooked the shorts into covering. In hindsight, that was not a good move as the entire moved to the upside from last Thursday’s low (before the election results) was completely retraced.