© Dukascopy Bank SA
GBP/AUD's outlook is strongly bearish. The pair has recently confirmed the triangle pattern, by violating the 200-period SMA at the same time. The Sterling is therefore continuing with its downward trend it has had since September of this year, after touching this year's current high at 2.2406. The cross touched October low at 2.0791 on November 24, and this fact confirms bearish intentions of GBP/AUD. Other technical studies are also favouring a decline of the Pound. Among them, 100-period SMA has just crossed the 200-period SMA to the south. Moreover, indicators on a four-hour time-frame are bearish for the time being. However, based on market sentiment (68% short) the pair seems to be relatively oversold.
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