Weekly : GBPAUD has been bullish from previous months. A bearish strong bearish engulfing candlestick was not sufficient enough to hold the bearish momentum and last week’s candlestick validated the continuation of the bullish momentum from previous weeks. I expect this week’s candlestick to continue the long-term bullish momentum.
Daily: GBPAUD had shown weakness in sustaining price action between the levels of 1.935 to 1.938. Although the previous two candlesticks has had bullish momentum, I remain cautious about a reversal since the last daily’s candlestick showed a decrease in price action’s momentum. It could be a formation of a 3-pin candlestick formation. Hence, there is a chance for a GBPAUD to reverse to the downside.
4H: Observe that a bullish engulfing occurred when price came below 1.938. It remains in consolidation between 1.936 to 1.943. Since my bias for GBPAUD is long, I would look for an entry at the lows of this consolidation range. This made 1.935 to 1.938 a favourable region to enter longs. I am closely monitoring how GBPAUD’s price action is currently holding in the liquidity region of 1.938 to 1.94.
Price region to buy : 1.935 - 1.938
Target price: 1.952
Daily: GBPAUD had shown weakness in sustaining price action between the levels of 1.935 to 1.938. Although the previous two candlesticks has had bullish momentum, I remain cautious about a reversal since the last daily’s candlestick showed a decrease in price action’s momentum. It could be a formation of a 3-pin candlestick formation. Hence, there is a chance for a GBPAUD to reverse to the downside.
4H: Observe that a bullish engulfing occurred when price came below 1.938. It remains in consolidation between 1.936 to 1.943. Since my bias for GBPAUD is long, I would look for an entry at the lows of this consolidation range. This made 1.935 to 1.938 a favourable region to enter longs. I am closely monitoring how GBPAUD’s price action is currently holding in the liquidity region of 1.938 to 1.94.
Price region to buy : 1.935 - 1.938
Target price: 1.952