Short GBPAUD on shoulder pattern formation

Poor AUD data overnight with building approvals dropping 8.4% for the month of Dec vs expectations of +2% took AUD down overnight leading to a 40pip bounce in GBPAUD. The pair is in process of forming head and shoulders with the spike on poor data failing to breach the neck line at 1.8100 area. This is now the third day in a row to fail to break above 1.81 and hold.

Looking for retest of 1.79 area into RBA meeting (AUD central bank) tomorrow and over the coming week

Comment:

200 pips profit and still running

Trade closed: target reached:

Trade closing out at our target locking in 200pips profit