GBPAUD is trying to record the tenth straight negative session, plummeting to a new almost four-month low around 1.8292.
Technically, the 20- and 40-day simple moving average (SMA) recorded a bearish crossover, while the price is also falling well below the 200-day SMA. The MACD oscillator is still strengthening its negative movement below its trigger and zero lines, while the RSI dived in the oversold zone, indicating that the negative movement may come to an end in the next few sessions.
A failure to overcome the 1.8380 barrier could send the price down to 1.8210, a challenging point over the last four months. Even lower, support could be next found around 1.8120, while a decisive close lower could stage a steeper sell-off until 1.8060.
Alternatively, if 1.8380 proves easy to get through, the spotlight will turn to the 200-day SMA at 1.8636 ahead of the 1.8800 psychological level, which overlaps with the 20-day SMA. On top of that, the bulls would need to clear the 40-day SMA at 1.8850 to push the rally towards the 1.9055 peak.
In brief, GBPAUD is diving sharply in the short-term; however, any rallies beyond the SMAs may change this view.
