GBPUSD traded higher in the Asia-Pacific session. This move up saw GBPUSD move up to test its 50% mid-point of the pair as it moved from the June 29 low to the July high. This intermediate level reached 1.2866. Today’s high reached 1.2864 just below this level.

The failure to extend above this level, along with the declining 100 hourly moving average (blue line in the chart below), keeps sellers more in check.

Going forward, it would require a move above both of these technical levels (the 100-hour moving average is essentially at the 50% mid-level at 1.2866) to tilt the bias more to the upside (at least in the short term). This is missing and the sellers win. Buyers lose.

On the downside, the 61.8% retracement comes close to the 1.28000 level. Break below that level and it opens the door for further declines.