GBP/AUD is at a critical juncture. On the Weekly charts we can see that the price is breaking down through the lower side of channel AB.
On the Daily charts the price is half way down a descending channel and on H1 price is locked in yet another channel.
I'm SHORT GBP/AUD from 2.0021 and I havde a STOP above the hourly candles at 2.0098.
If GBP breaks down through the weekly channel we could be heading for the 200 sma or 23.6 Fib at 1.8159.
The fundamentals favour this trade. Its quite high risk but the reward is huge
Trade active
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SHORT GBP/AUD from 2.0021 STOP 2.0098 Target OPEN.
Trade active
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Yesterdays dismal job numbers out of Australia sent this trade backward but significantly the downward trend has not been arrested. This is suggesting the AUD may move forward across the board. I now have a STOP on this trade at 2.0025 above todays high for -4. A break of yesterdays low at 1.9884 will accelerate declines.
Trade closed: stop reached
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Stopped for -4 on this trade. The situation hasn't really changed much. 1.9894 is historical support so much depends on this level holding. If this level fails we could be headed much lower.