GBP/AUD started the week by touching a one-month high but it stalled ahead of the August top and faded sharply today, making it the biggest-moving pair this week, losing 322 pips or 1.86%.
The failure to seriously challenge the August high points to the risk of a deeper decline. The next step will be to see how it reacts to a test of the September lows. I like GBP shorts, broadly but I’d like to see a bounce before putting on any fresh trades.
