GBP/AUD Down 43 Pips On 4 Hour Chart, Came Into Today Down For the 6th Day In A Row; Price Base in Formation Over Past 90 Days

GBP/AUD 4 Hour Price Update

Updated May 11, 2020 09:09 PM GMT (05:09 PM EST)

The choppiness in the recent four-hour candle price action of GBP/AUD continues; to start the current 4 hour candle, it came in at a price of 1.9017, down 43 pips (0.23%) since the last 4 hour candle. Compared to its peers in the Forex, GBP/AUD gave its buyers a return that ranked 36th in terms of percentage change since the last 4 hour candle.

GBP/AUD End of Day Recap

Updated 00:30 GMT (04:30 EST)

GBP/AUD is down 81 pips (0.43%) since the day prior (opening today near 1.88941), marking the 6th day in a row it has gone down. Out of the 40 instruments in the Forex asset class, GBP/AUD ended up ranking 37th for the day in terms of price change. The price chart of GBP/AUD below illustrates.

GBP/AUD Technical Analysis

Notably, the current price of GBP/AUD is sitting close to its 20 and 200 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 200 day average, which is 283.2 pips away. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving down. Price action traders in particular will want to note that the 90 day period appears to show price forming a base; this could indicate that a support/resistance level is developing. Or to simplify this another way, note that out of the past 10 days GBP/AUD’s price has gone down 7 them.

The View From Around the Web

Of note is that traders in aggregate have opinions on GBPAUD, with 27 buy signals on our radar and 8 sell signals. This imputes a buy/sell ratio of 3.38, which is bullish. As for the rationale, technical traders seem to be citing the appearance of divergence and trendline technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

Expecting price to touch trendline before heading bearish to next support zone