The retreat from 1.2975 to 10-DMA support of 1.2916 is disheartening. It does two things – the chart now shows falling top formation and the 5-DMA and 10-DMA are nearing a bearish crossover – this is almost always a first sign that a top has been made.
If the US hourly earnings figure beat estimates, one can go short on GBP for 1.2880-1.2840. It all depends on the US data now. I would not want to be on the long side unless the spot breaks above today’s high of 1.2975.