FX:GBPAUD British Pound/Australian Dollar
This looks like a good one. GBPAUD has been trading in a channel and has now reached the bottom of that channel or the if you prefer. It has also retraced to 61.8% of the last Fib and also looking at the chart I see a divergence (green line) between the price action (higher lows)and the (lower lows). Not only that but after checking the 4 hour and the one hour charts I got 2 nice hammers rejecting both the 61.8% and the trendline/bottom of the channel. My first and more conservative target would be 1.96180 (the 23.6% retracement of the last Fib) and my second target would be a complete retracement to 2.00127. When and if the price hits this level I will have to analyse the price action here and, if the signals are good, I will go for another long until the top of the channel.