GBPAUD Trend Trading
Price action in GBPAUD is looking interesting here. Following the lengthy block of consolidation we saw over recent month, the pair attempted to breakdown below the 1.7218 level last week, but was rebuffed on the initial attempt. However, price is now turning lower once again and, with both MACD and RSI turning lower also, and the retail market more than 80% long, there are growing downside risks of a further breakdown. Sellers can look to play a break of current 1.7022 lows, targeting 1.6726 initially.
Keep an Eye On
The current USD rally seems to be hurting GBP more than AUD. With the UK battling forty-year high inflation and with growth prospects dwindling over the remainder of the year, AUD is fairing better currently. While this dynamic continues, we can expect further downside in GBPAUD. With this in mind, further US Data this week will be key to watch. Should the USD rally continue, this will keep GBPAUD pressured lower near-term.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.