The GBP/AUD pair has decisively broken and held below the critical 2.000 level, marking its first close beneath this threshold in over a year. This drop came despite a better-than-expected UK GDP reading, which was quickly dismissed as temporary. Bearish momentum is now accelerating, opening the door for a continued slide toward the mid-1.90s. Both technical indicators and market sentiment support further declines, with traders eyeing short opportunities below 2.000.
Major Points :
Historic Breakdown: GBP/AUD closed below the key 2.000 level for the first time since early 2025, confirming a major bearish shift.
GDP Boost Fades Fast: Despite a surprising 0.3% UK GDP rise in November, gains were driven by temporary factors (like auto production rebound), failing to support the pound.
Bearish Momentum Builds: The breakdown from a descending triangle pattern suggests further downside, with targets near 1.9600–mid-1.90s.
Strong Technical Signals: RSI and MACD momentum indicators both support further declines, reinforcing the bearish outlook.
Risk Sentiment Hurts GBP: A stronger risk appetite boosted the Aussie dollar, while a firmer U.S. dollar added pressure on GBP.
Trading Idea: Short positions below 2.000 are favored, with potential pullbacks possibly attracting buyers later if historical January trends repeat.
