FxWirePro: GBP/AUD downside pressure builds, key support level in focus

• GBP/AUD dipped on Monday as traders reacted to easing US-China tensions following last Friday’s escalation.

• Trump on Friday warned of 100% tariffs on Chinese products and introduced software export restrictions, following China’s rare-earth curbs.

• Despite his earlier hardline stance, Trump adopted a more conciliatory tone toward China over the weekend, with analysts suggesting the tariff threat may have been tactical and that a compromise could be possible.

• Bank of England officials will address the market this week, with six MPC members sharing their views.

• This week, UK economic releases include August jobs on Tuesday and a series of activity reports GDP, trade, and more on Thursday.

• Immediate resistance is located at 2.0624(38.2%fib), any close above will push the pair towards 2.0718(Sep 2nd high).

• Immediate support is seen at 2.0413 (SMA 20) and break below could take the pair towards 2.0285(23.6%fib).

Recommendation: Good to sell around 2.0610 with stop loss of 2.0700 and target price of 2.0480