The EURGBP support level (see prior post) gave way (at 0.8036) and with it the GBPUSD moved sharply higher (or was it GBPUSD moving higher which pushed the EURGBP lower?).  Regardless the price is trading at the highest level since June 21.  The range for the pair is a modest 71 pips with a 20 day average at 124 pips. So there exists room for an extension.

What we do know from the trading today is the activity has been choppy for most of the day (see chart below).  The current move higher will be eyed to see if the trend like move can be sustained without the choppiness (and frustration) of the preceeeding intraday moves.     With more distrust in the market, I would expect that the longs may not be so patient with corrections. If the price is to move higher and extend toward what is a key target at the 200 day MA  (see green line in the chart above at the 1.5747 level), risk on longs might only be given to the 1.56884 (38.2% retracement).  A move below this level would likely discourage the buyers who forced the pair higher in the recent surge.  Until then, I give the nod to the buyers/bulls.