FxWirePro: GBP/ AUD beginning to trend higher but hurdles ahead

• GBP/ AUD initially dipped on Friday but pared some losses as the pair was aided by hot UK retail sales data.

• British retail sales rose by 2.9% in May, rebounding sharply from a revised 1.8% decline in April. Economists' poll had forecast sales volumes would increase by 1.5%.

• GBP/ AUD  bulls will find it difficult to pull the pair  higher  as   increasing in focus on July 4th UK election  and   dovish BoE rate expectations will continue to weigh on GBP/ AUD  .

• From a technical viewpoint, RSI  is strongly bearish at 40, daily momentum studies, 11, 14 and 21 daily  MAs are pointing lower .

• Immediate resistance is located at 1.8964 (38.2% fib), any close above will push the pair towards 1.9123 (50% fib).

•  Immediate support is seen at 1.8967 (23.6% fib) and break below could take the pair towards 1.8908 (May 16th low).

Recommendation: Good to sell  around 1.9050, with stop loss of  1.9110 and target price of 1.8950