As a result of the four-week rally, GBPAUD has already reached the crucial resistance level of 1.7120 yesterday, where today the first supply reaction has emerged.
Looking at the daily chart, we will see that this level has been tested both from the bottom (as a resistance) and from the top (as a support) in the past, and there has been a supply reaction every time.
Considering this dependency and the fact that during recent upswings there has been no deepen downward correction, we would expect rejecting this level again.
Looking on H4 chart we will see that potential drops could reach even vicinity of 1.6715, giving a range of 350 pips from the current level.
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However for that these gains could reach the target, pair has to overcome two local (blue) support levels and a rising trend line first.
