GBPAUD 09.10.17 Weekly Breakdown

Huge bullish engulfing monthly candle close, also closing above 8ema. From our weekly timeframe, I can see that price has broken to previous LH structure signaling we are now in an uptrend. We have also seen the moving averages cross to the upside which confirms we are now in an uptrend. Last weeks candle closure was a bearish engulfing candle from 1.7000 level. Price is now approaching our next key level which is 1.675, this area also aligns with our 8ema which we could use as a dynamic area of support.

From our top-down analysis we know we are in an uptrend but currently making a PB to form potential HL. Will be monitoring price around 1.675 for reversals

 

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