Trade of the Day: GBP/AUD

GBP/AUD continues to fall inside the 4-hour Up Channel chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Up Channel at the 3-bar level – which is the result of the slow Initial Trend (3 bars), below-average Uniformity (4 bars) and low Clarity (2 bars). GBP/AUD is expected to fall further inside this Up Channel.

As can be seen from the weekly GBP/AUD chart below – the pair earlier reversed down from the long-term resistance level 1.9150 (former yearly high from the last two years), standing near the upper weekly Bollinger Band. The proximity of resistance level 1.9150 adds to the probability GBP/AUD will continue to fall inside this Up Channel.