GBPAUD Analysis;
From a technical point of price action is now in the initial consolidation phase accumulating volume and contracts within the 1.8950 to 1.9050 level. Price did get an initial spike to the upside this afternoon but unfortunately momentum was not sustained as price pulled back into the zone. In the shorter term for the upside movement to occur I want to see that breakout of the highlighted area and for a retest on said breakout. Bias then will be tilted for an upside continuation. Where this occurs. I would be looking for moves into the 1.9500 technical zone.
On the higher timeframes we can also see a clear Double Bottom emerge also which reinforces the short to medium term long/buy bias. Where price makes an engulf break below the 1.8950 level then the bias is invalidated. Use the higher timeframes (1hr & 4hr) as validation and confirmation for the bias as this removes the choppy price action on the lower timeframes.
From a technical point of price action is now in the initial consolidation phase accumulating volume and contracts within the 1.8950 to 1.9050 level. Price did get an initial spike to the upside this afternoon but unfortunately momentum was not sustained as price pulled back into the zone. In the shorter term for the upside movement to occur I want to see that breakout of the highlighted area and for a retest on said breakout. Bias then will be tilted for an upside continuation. Where this occurs. I would be looking for moves into the 1.9500 technical zone.
On the higher timeframes we can also see a clear Double Bottom emerge also which reinforces the short to medium term long/buy bias. Where price makes an engulf break below the 1.8950 level then the bias is invalidated. Use the higher timeframes (1hr & 4hr) as validation and confirmation for the bias as this removes the choppy price action on the lower timeframes.