STERLING DROPS BELOW 1.3200
The British pound has fallen below the 1.3200 handle against the U.S dollar, hitting a new weekly price-low of 1.3174, as fears over Theresa May's tenure as British Prime Minister grow.
Bearish trading sentiment surrounding the GBPUSD pair is growing, as data out today showed a sharp decline in new UK car registrations for the month of September. Furthermore, an apparent stalemate in Brexit negotiations between Brussels and the Conservative party are also weighing on the pound.
Today's bearish range-break beneath the 1.3218 level has opened a new leg of GBPUSD downside, with the pair increasingly likely to test towards its key 50-day moving average, at 1.3144.
Only a series higher time frame price close back above the 1.3218 technical level, can negate further selling in the GBPUSD pair.
Key intraday GBPUSD support below the 1.3174 level is found at 1.3144 and 1.3115. Below the 1.3115 level, the pairs 100-day moving average is found at 1.3040.
To the upside, the pairs H4 time-frame 200 period moving average, is found at 1.3202. Once clearly above the 1.3202 level, the 1.3218 and 1.3239 levels become former support turned resistance.