FxWirePro: GBP/AUD declines for 6th straight week, slips below 200-DMA, eyes 61.8% Fib, stay short on upticks

GBP/AUD chart on Trading View used for analysis

• GBP/AUD is extedning downside for the 6th straight week, slips below 200-DMA, we see scope for further downside.
   
• The pair has opened with a bearish gap, and recovery attempts were capped below 200-DMA.
   
• Brexit woes continue to plague the British pound. GBP/AUD primed for a continuation of last week's declines.
   
• Momentum studies are bearish, Stochs and RSI sharply lower, MACD supports downside.
   
• Next major bear target lies at 61.8% Fib at 1.7835. Violation there could see further weakness.
   
• On the flipside, retrace and close above 200-DMA could see some bounce back.

Support levels - 1.7835 (61.8% Fib), 1.7789 (Lower BB), 1.7592 (78.6% Fib)

Resistance levels - 1.7943 (200-DMA), 1.7986 (5-DMA), 1.80 (50% Fib)

Recommendation: Good to go short on upticks, SL: 1.7950, TP: 1.7835/ 1.78/ 1.7790

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.