GBP/AUD Price Analysis: Bears in control and seek break of 4-hour support structure
|- GBP/AUD is brewing up a bearish opportunity as the stars align.
- The 4-hour chart, however, has a support structure to clear first.
GBP/AUD has been in a weekly decline and is on the verge of a downside extension according to the weekly and daily charts.
The following is a top-down analysis of the price action's trajectory all the way onto a 4-hour chart which illustrates where the next bearish opportunity could be derived.
Weekly chart
The weekly chart is bearish and price would be expected to continue to the downside following the restest of resistance.
Daily chart
The market has retraced a significant portion of the bearish impulse and by as much as a 61.8% Fibonacci retracement.
A downside opportunity in a bearish continuation would now be expected to present itself sometime soon on the 4-hour chart.
4-hour chart
As illustrated, there is plenty of structure that the market needs to break to the downside before a convincing opportunity will reveal itself.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.