Descending Triangle Pattern – A Good Trade Setup on GBPAUD
Arslan Butt • 1 min read
Our trading signal on Gold gave us a good start today as it's closed at take profit level. For now, the forex crosses are offering some good opportunities. Let's check this out.
Technical Overview – GBPAUD
Taking a look at 4- Hour Chart, the GBPAUD is consolidating in the descending triangle pattern which supports the pair at $1.6785. On the same level, the pair has just formed a triple bottom level.
GBPAUD – 2 Hours Chart – Descending Triangle Pattern
Interestingly, the leading indicators are holding in the oversold zone. That's signaling that a bullish retracement is imminent. On the flip side, the downward trend line is providing a resistance at $1.6915
Key Trading Level: 1.6842
GBPAUD – Trading Plan
The idea is to stay in buying above $167.75 with a stop below $167.550 in order to target $168.750. We can also place a Sell Stop. It will be rational to use small trading volume for this position. Good luck!