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FxWirePro: GBP/AUD capped by 5-DMA, good to sell on rally

• GBP/ AUD was little changed on Friday as investors assessed Federal Reserve Chair Jerome Powell's speech.

• Powell  said Fed would proceed carefully as   whether to tighten further,  but also made clear the central bank has not yet concluded that its benchmark interest rate is high enough  .
• GBP/ AUD traded in  range 1.9598-1.9683, the pair was last trading up 0.03 percent   at  1.9638.

• Technical signals show the pair could lose more ground in the short-term as RSI has turned lower.

• Immediate resistance is located at 1.9728(5DMA), any close above will push the pair towards 1.9878(23.6%fib).


• Immediate support is seen at 1.9488 (Aug 15th low) and break below could take the pair towards 1.9348(50%fib).

Recommendation: Good to sell  around 1.9650, with stop loss of 1.9750 and target price of 1.9550

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