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10.12.2015 02:51 PM
Technical analysis of GBP/AUD for December 10, 2015

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GBP/AUD has established a mid- to long-term downtrend producing new lower lows and lower highs. However, the pair broke above the resistance area near 23.6% Fibonacci and currently it is finding there support.

It seems there is a good probability for another correctional wave up after the pair bounced off 50% Fibonacci retracement level (S1) and at the same time 38.2% (R1) has not been tested yet. Besides, two downtrend trend lines are still untouched and it is likely that they will be tested in the near future.

Consider buying GBP/AUD while it is trading near S1 (2.0710) to target the R1 (2.1115) area. Stop loss should be placed well below S2 (2.0622), which is 61.8% Fibs.

Support: 2.0710, 2.0622

Resistance: 2.1115

Summary
Urgency
Analytic
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