Connect with us

GBP-AUD-cup-and-handle-pattern

A textbook example of a cup and handle pattern is forming on the weekly GBP/AUD chart. It is an 89-week old pattern, so it should be reliable.

If the price break above the horizontal resistance line we should buy the British pound against the Australian dollar. Protective stop-loss can be placed just below the line, with some room for the price to breathe.

Our target should equal the pattern’s height, which is 2.08 (see the chart below).

GBP-AUD-cup-and-handle-pattern-target

Target is equal to the pattern’s height

Inverse Head and Shoulders Pattern on the Daily Chart

When we switch to the daily chart of this pair, we can spot an inverse head and shoulders pattern.

GBP-AUD-Inverse-Head-and-Shoulders

This smaller pattern within a bigger one gives us confluence. The price already broke above the horizontal neckline and is going toward the resistance line of the bigger, cup and handle pattern.

Let’s wait and see what’s going to happen when/if the price reaches it.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Trading ideas

EURGBP Descending triangle april 2023 EURGBP Descending triangle april 2023
Forex12 months ago

EURGBP Descending Triangle: A 250 Pips Trading Opportunity

EURGBP has been consolidating in a descending triangle pattern for the last 92 days, with the price fluctuating between the...

Forex1 year ago

EURUSD Breaking Through or Rejected by the Symmetrical Triangle? Analyzing the Critical Moment

The EURUSD currency pair is at a critical juncture, as it fast approaches the lower boundary of the huge 275-week...

Commodities1 year ago

Trading Opportunity in Aluminum: Capitalize on the Head and Shoulders Bottom Pattern

The aluminum market has formed a Head and Shoulders bottom pattern which has been in place for 200 days, offering...

Forex1 year ago

EUR/CHF Looks Set For a Bullish Reversal: How to Take Advantage of the Opportunity

The EUR/CHF forex pair has been in a state of consolidation from July to December. On the daily chart, a...

chnkhd-head-and-shoulders-bottom chnkhd-head-and-shoulders-bottom
Forex1 year ago

Head and Shoulders Bottom in CNH/HKD

Currency trading has been particularly volatile for the Chinese Yuan-Hong Kong Dollar (CNH/HKD) currency pair in the past few weeks....

GBP-AUD-cup-and-handle-pattern GBP-AUD-cup-and-handle-pattern
Forex2 years ago

GBP/AUD Cup and Handle

A textbook example of a cup and handle pattern is forming on the weekly GBP/AUD chart. It is an 89-week...

LTC-rectangle pattern January 2022 LTC-rectangle pattern January 2022
Crypto2 years ago

LTC Rectangle Pattern Confirmed: This Is What That Means for Litecoin!

The flagship cryptocurrency, Bitcoin, finally broke below the support line at $45,500 on January the 5th and dragged down the...

ICPUSD-1D-chart ICPUSD-1D-chart
Crypto2 years ago

Big Falling Wedge Pattern Can Send ICP to THIS Level!

Prolonged price declines in the cryptocurrency market caused very negative sentiment among investors, however, there are some signs of recovery....

Bitcoin-inverted-cup-and-handle-december-2021 Bitcoin-inverted-cup-and-handle-december-2021
Crypto2 years ago

Inverted Cup and Handle – BTC May Slump to 21k

December was a big disappointment for all crypto bulls that expected to see Bitcoin at $100,000 and beyond by the...

Bitcoin-keep-it-simple Bitcoin-keep-it-simple
Crypto2 years ago

What’s Next for Bitcoin? Be Patient and Keep it Simple

Simple strategies often beat complex ones, that’s especially true when it comes to trading. After the recent cryptocurrency crash, many...