GBP/AUD 4H Chart: Two Scenarios Likely

The Pound Sterling surged by 1.44% against the Australian Dollar during last week’s trading sessions. The GBP/AUD currency pair tested the 1.8150 level on March 26.

Currently, the exchange rate is trading a support line formed by the 50– period simple moving average at 1.7989.

If the 50– period SMA holds, bullish traders are likely to continue to drive the price higher this week.

However, if the currency exchange rate breaks the support level, as mentioned above, a decline towards the 1.7800 area could be expected during the following trading sessions.