Comments on: GBP AUD British Pound Australian Dollar Bullish http://www.forex100.net/forextrading/2006/03/17/gbp-aud-british-pound-australian-dollar-bullish/ Signals, Charts, Breaking News and Education Thu, 21 Aug 2008 01:12:19 +0000 http://wordpress.org/?v=2.3 By: Tom http://www.forex100.net/forextrading/2006/03/17/gbp-aud-british-pound-australian-dollar-bullish/#comment-57 Tom Mon, 07 Apr 2008 17:55:24 +0000 http://www.forex100.net/forextrading/2006/03/17/gbp-aud-british-pound-australian-dollar-bullish/#comment-57 I just looked at the price chart of GBP AUD going back to 1999 and from the chart it is pretty clear that GBP relative to AUD has been in a bearish downward overall trend since mid 2001. The recent decline that has been underway for the past 7 to 10 months is a a break downward after a sideways range that lasted about 4 years. To answer your question, I think GBP AUD has a little more downward to go before it finds a bottom... It is possible that it finds some sort of bottom in 2008 similar to the way the United States dollar setup. However, I would keep in mind that even if it finds a bottom, it is hard for me to see GBP gaining huge ground on the AUD in a big way, bottom or not. I say this because Australia is a very resource (hard assets) rich country and commodities are in a huge long term bull market. So instead of worrying too much about how weak or strong the GBP is against the AUD, you might want to consider hedging your currency risk with the most popular hard asset currencies like GOLD and SILVER. I just looked at the price chart of GBP AUD going back to 1999 and from the chart it is pretty clear that GBP relative to AUD has been in a bearish downward overall trend since mid 2001.

The recent decline that has been underway for the past 7 to 10 months is a a break downward after a sideways range that lasted about 4 years.

To answer your question, I think GBP AUD has a little more downward to go before it finds a bottom…

It is possible that it finds some sort of bottom in 2008 similar to the way the United States dollar setup.

However, I would keep in mind that even if it finds a bottom, it is hard for me to see GBP gaining huge ground on the AUD in a big way, bottom or not. I say this because Australia is a very resource (hard assets) rich country and commodities are in a huge long term bull market.

So instead of worrying too much about how weak or strong the GBP is against the AUD, you might want to consider hedging your currency risk with the most popular hard asset currencies like GOLD and SILVER.

]]> By: giovanni http://www.forex100.net/forextrading/2006/03/17/gbp-aud-british-pound-australian-dollar-bullish/#comment-56 giovanni Mon, 07 Apr 2008 16:56:04 +0000 http://www.forex100.net/forextrading/2006/03/17/gbp-aud-british-pound-australian-dollar-bullish/#comment-56 hi interesting reading... we are planning to move to australia from uk, but are very worried about the low exchange rate. do you forsee a change this year? hi

interesting reading…

we are planning to move to australia from uk, but are very worried about the low exchange rate.

do you forsee a change this year?

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