Gbp/aud

I saw a ranging trend with the GBP/AUD Pair so got in at near the bottom of the downward trend (after duing fundamental and technical analysis to help determine market sentiment).

I would do more fundamental analysis around any of the retracement zones found from using a fibonacci calculator.

I did this was to be extra careful as there were not even any resistance zones below the most significant swing high of the ranging trend and even though the it looked like a ranging trend each peak looked slightly higher than the next suggesting that the resistance zones were being tested harder as the ranging trend progressed.

Now my (beginner) fundamental analysis told me why the GBP would start to rise agaisnt the AUD (BOE news and some strong buying news from one of the commercial banks in UK) my (beginner) technical analysis also told me why this would happend (due to very strong major suppprt zone met by market and market was stalling at this point, also retracement zones for downtrend did not match up with any resistance zones), but something is bothering me.

Fundemental analysis of the AUD would not suggest such weakening against the pound I would have had to only look at news from GBP alone for my fundamental analysis to come to my conclusion of bullish market sentiment.

So when it comes to fundemental analysis is news from the base currency more important than the news from the counter currency i ask because something similar happened with GBP/USD after getting hit a few times at the bottom of the GBP/USD downward trend it then successfully reversed and broke through all the fib zones, the fluctuations were quite strong for me so I watched the market instead until stronger trend reversal indicators were seen before getting in I also had increase size of trailling stop to accommodate fluctuations and decrease it’s size near the upward trend peak.

I see you are a newbie here in this forum but seems good, interesting!

Well, there is a possibility depending on the “ADP non-farm employment change figure” that either may weaken or strengthen the US dollar…

But why did the GBP rise so aggressively against the AUD, is it due to the fact that even though fundamental analysis revealed good reason for confidence in both economies the GBP/AUD was set for a trend reversal, so that if the GBP/AUD was at the swing high it would begun a down trend with the same fundamental analysis results.

This may be due to the GBP/USD and AUD/USD trade off for the last week where the recent disappointment in the US economic data and the NFP report may be involved. But I am not sure how since I am not an expert and just trying to learn effects of such news on the price movement.