GBP/USD Hits 200-Hour MA at 1.3364: Make or Break
Cable is testing a critical hourly support level. How it closes here sets the tone for the next 100+ pips.
GBP/USD is sitting right on its 200-hour moving average at 1.3365, and this is the level that matters right now. The pair rolled over after repeatedly failing to clear the 1.3399 zone — a brutal triple confluence of the 100-day MA, 200-day MA, and the 50% retracement of the May-to-July rally. Three strikes at resistance and the sellers are finally in charge.
The 200-hour MA isn't just a random line. It's been acting as a floor since late June, and buyers successfully defended it on a retest back on June 30 before ripping higher. It also lines up with today's Asian session low, so you've got multiple reasons why this exact level is where the battle is being fought right now.
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If sellers punch through and hold below 1.3365, the next stops are 1.3338, then last week's low around 1.3323, and then the big round number at 1.3300. That's a clean 65-pip drop if this level cracks. Don't ignore that setup.
Flip side — if buyers step in and defend like they did last time, the pair will make another run at 1.3399. But to actually flip the script and give bulls back the keys, you need a clean break and hold above that 1.3399 confluence. Until then, the default bias stays bearish on any failure to reclaim today's lows.
This is a textbook trade-the-level setup. Watch the reaction closely. Continue reading at Forexlive.
