GBPAUD → A break of support activates a "Flag" on D1

GBPAUD breaks the base of the bullish correction, which activates the medium-term pattern "flag" on D1. An impulse is formed and the price updates the local minimum

A weak Pound Sterling (chart on the left) may break its support area and head towards 1.2000, which will trigger a fall in GBPAUD. Based on the overall situation, I can assume that after a local correction to the previously broken channel support, the price may continue its fall to 1.897, then to 1.8800. At the moment, I am interested in the resistance area of 1.9190-1.91800. The price is heading towards this area for a retest. There may be a false breakout or a rebound. Consolidation below this line will be a sell signal.
The moving averages are forming a strong signal, and a retest of MA-50 on D1 is a confirmation of the bearish market sentiment

Support levels: 1.897
Resistance levels: 1.9190, 1.9198

I am waiting for local growth to the mentioned resistance with subsequent fall on the basis of the pattern "Flag".

Regards R. Linda!

Komentar:

the price enters the panic zone. Trap formation is possible. If a false breakdown is formed, a strong impulse may appear