Trend: Bullish
Key support levels: 1.8035, 1.7987
Key resistance levels: 1.8171, 1.8344
Price Action: The GBP/AUD trend is clearly bullish as the price continues to print higher highs and higher lows. On September 24 pair broke above the downtrend trendline as well as 200 Simple and Exponential Moving Average, reaching 1.8282 high. The corrective wave down followed, and the price went down to 1.7846, where it rejected the uptrend trendline.
This week’s price action shows, that both 200 Simple and Exponential MAs are being rejected, implying that bulls remain in control. The key support is located at 1.7987, which is the low produced on October 5. Therefore, as long as the daily closing price remains above 1.7987, GBP/AUD is expected to continue rising. The upside resistance is located at 1.8344, which is confirmed by two Fibs. First being the 23.6% Fibs applied to the last wave up, where GBP/AUD topped out back on July 21. The second is 227.2% Fibs apple to the current corrective move down.
This means that there might be a 250-300 pip upside potential, while the uptrend could be starting as soon as this week. But obviously, this scenario will be valid only as long as GBP/AUD respects the 1.7987 support.
Key support levels: 1.8035, 1.7987
Key resistance levels: 1.8171, 1.8344
Price Action: The GBP/AUD trend is clearly bullish as the price continues to print higher highs and higher lows. On September 24 pair broke above the downtrend trendline as well as 200 Simple and Exponential Moving Average, reaching 1.8282 high. The corrective wave down followed, and the price went down to 1.7846, where it rejected the uptrend trendline.
This week’s price action shows, that both 200 Simple and Exponential MAs are being rejected, implying that bulls remain in control. The key support is located at 1.7987, which is the low produced on October 5. Therefore, as long as the daily closing price remains above 1.7987, GBP/AUD is expected to continue rising. The upside resistance is located at 1.8344, which is confirmed by two Fibs. First being the 23.6% Fibs applied to the last wave up, where GBP/AUD topped out back on July 21. The second is 227.2% Fibs apple to the current corrective move down.
This means that there might be a 250-300 pip upside potential, while the uptrend could be starting as soon as this week. But obviously, this scenario will be valid only as long as GBP/AUD respects the 1.7987 support.