Forex Technical Update
The GBP/AUD failed to sustain a break below range support seen in the 4H chart at 1.5310. After consolidating around 1.53, the market rallied, stalled under 1.55, and in the 4/19 European-US session, is breaking above 1.55 and consolidation resistance. The moving averages are re-aligning themselves to show a bearish market (with 200 SMA at the bottom, than 100, 55, 21, and 8 going up).
The daily chart shows the target for the current breakout. The 1.5677 level is a resistance formed in Dec. 2011. From the resistance area of 1.5650-1.5677, we might expect a bit stronger reaction, back toward the 1.55, and the 1.54 area. However, if the market pushes above 1.57, we open up the next resistance pivot from Nov. 2011, near 1.6050.
Fan Yang CMT is a trader, analyst, educator and Chief Technical Strategist for FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.
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