• GBP/AUD declined on Thursday as Australian dollar was bolstered by a rebound in stocks and improved risk appetite.
• The fell below 1.8700 level, sharp fall stops after finding support at 1.8629(23.6%fib).
• GBP/ AUD remains well below 38.2%fib,Daily close below 23.6%fib increase the scope for much bigger drop.
• From a technical viewpoint, the moving averages are pointing downwards, while the RSI is strongly bearish at 32.
• Immediate resistance is located at 1.8752(38.2%fib), any close above will push the pair towards 1.8776(Daily high).
• Strong support is seen at 1.8629(23.6%fib) and break below could take the pair towards 1.8574 June 7th low).
Recommendation: Good to sell around 1.8670, with stop loss of 1.8780 and target price of 1.8600
