GBPAUD - Bearish Flag

Sometimes it could be hard for a trader to differentiate whether the market is going to have a Double Bottom setup with RSI Divergence of a Bearish Flag formation. It all voice down to your filter and experience in the market. If you are uncertain of any trading setup, then leave the trade alone until you have further confirmation.

While a small group of traders are aware of my thoughts on this bearish flag setup, I regretted not posting this trade, but if you believe me, then that doesn't matter.

At this moment I'm waiting for a double bottom set up at 1.8790, which is also the level that coincides with the retest of the broken trendline on the 4-hourly chart for a buying opportunity. And to your comfort, it is still within the buy zone of the 4-hourly chart and the daily chart as a trend trading setup, although from the recent market movement, the bearish move is much stronger than the bullish candle and that is why you need to have a strong filter that you have manual backtest for at least 100 times per timeframe, per currency pair.