Brexit news helps the GBPUSD. AUDUSD rises on trade data
The GBPUSD and AUDUSD has both gotten a boost from headline news.
For the GBPUSD, there were reports in the FT, that PM May sealed a deal on financial services with the EU.
In Australia, the trade balance data showed a much higher than expected surplus.
For the GBPUSD, the price cracked above both the 100 hour MA (blue line in the chart above) and a topside trend line at 1.2783. Those levels were broken yesterday, but quickly reversed. The break today seems to have more legs.
The next target is the 200 hour MA at 1.2869. That MA was broken back on October 17th and has not been above that level since that time.
Close risk is the 1.2830 high from yesterday. Other risk comes in at 1.2817 and 1.28056. That is the current 38.2-50% of the move up. If the price moves below those levels, the longs would be frustrated (the waters get muddy – see the 5 minute chart below).
For the AUDUSD the price shot away from the 100 and 200 hour MAs and move up has moved toward the 0.710608 area. The high for the week reached 0.71217 yesterday. That is the next key target.