The (GBPAUD) has given up roughly 150 pips from yesterday’s high, getting rejected at downchannel resistance (on the daily chart).  Although the GBPAUD appears at elevated risk of sliding back before the weekend to the psychologically key 1.70 whole figure level, and at moderate odds of testing upchannel support (on the 4hr chart) in the same period, the GBPAUD’s descending wedge (on the weekly chart) is nearing completion and unlikely to form a fresh 2022 low.  Before bulls get excited, they’ll want to see a daily close above the daily chart downchannel resistance and a weekly close above descending wedge resistance (on the weekly chart).  The weekly RSI, Stochastics and MACD are bottomish, but weighed by the tiring daily RSI and Stochastics.  I am looking to enter long in the green zone (of the daily chart), targeting the red zone for Wednesday.  The amber/yellow zone is where I might place a stop if I was a swing trader (although in my personal account with which I seldom hold overnight I sometimes set my stops tighter).  Click here for analysis on GBPUSD, NASDAQ100

GBPAUD Weekly/Daily/4hr

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