• GBP/AUD strengthened on Wednesday but rally fizzled as the buying flows faded as market looked for new catalyst.
• GBP/AUD rallies 1.8700 towards, lift stops after finding resistance at 1.8711 (38.2%fib ).
• GBP/AUD remains vulnerable, only a break and daily close above 1.8826 (50% fib) will shift bias to the upside.
• Technical are bearish, daily RSI is negative at 44, daily momentum studies 14 and 21 DMAs are trending down.
• Immediate resistance is located at 1.8711 (38.2%fib ), any close above will push the pair towards 1.8833 (50%fib).
• Strong support is seen at 1.8645 (5DMA) and break below could take the pair towards 1.8558 (23.6%fib).
Recommendation: Good to sell around 1.8690, with stop loss of 1.8800 and target price of 1.8600
