• GBP/AUD strengthened on Friday as sterling picked up some gains after the Bank of England (BoE) held interest rates at a 15-year high.
• The BoE left borrowing costs unchanged at 5.25% this week and published forecasts showing the British economy was likely to skirt close to a recession and flat-line in the coming years.
• The pair repeated failures to push above 1.9098( 5DMA)is discouraging longs.
• Technical outlook is bearish in short-term as RSI has turned lower, moving averages are mixed.
• Immediate resistance is located at 1.9046 (5DMA), any close above will push the pair towards 1.9098( 38.2%fib).
• Strong support is seen at 1.8908 (23.6% fib) and break below could take the pair towards 1.8853 (Sep 29th low ).
Recommendation: Good to sell around 1.9000, with stop loss of 1.9100 and target price of 1.8900
