FxWirePro: GBP/AUD capped below 20-DMA, on track to test 50-DMA at 1.7570
GBP/AUD is trading in a narrow range, capped below 20-DMA at 1.7743. Pound largely muted in response to weaker-than-expected releases earlier today. UK Manufacturing Production expanded at a monthly 0.1% and Industrial P…
GBP/AUD is trading in a narrow range, capped below 20-DMA at 1.7743.
Pound largely muted in response to weaker-than-expected releases earlier today.
UK Manufacturing Production expanded at a monthly 0.1% and Industrial Production gained 1.3% inter-month.
The trade deficit widened to £12.32 billion during the first month of the year, all readings coming in below initial estimates.
Technical indicators are turning bearish, we see scope for further weakness.
RSI has slipped below 50 levels and is biased lower. Stochs have turned bearish.
Next major support on the downside is seen at 50-DMA at 1.7570. Breach there could see further downside.
Breakout and close above 20-DMA could invalidate bearish bias.
FxWirePro Currency Strength Index: FxWirePro's Hourly GBP Spot Index was at 1.08287 (Neutral), while Hourly AUD Spot Index was at 130.538 (Bullish) at 1100 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
