GBP/AUD Moves To The Upside

GBP/AUD is now expected to draw a new daily lower high point. We have confluence at the 1.67000 resistance which aligns with the 50% retracement level. At this area we could see bearish price action signaling a new lower high. It is best to wait patiently to see if price shows a new lower high, for a shorting opportunity.

In such a case, bears would be looking to drive the pair down to first target area at the 0% Fibonacci at 1.6274. If that level is taken out, 1.5850 becomes an opportunity as this would create a double bottom and potentially change the downward trend to the upside.

Currently, price is around 1.66 as market sentiment remains bearish. If the 50% Fib is taken out, we could see price go to the 61.80% and rebound from the resistance line on the medium term.

Chart: GBP/AUD D1