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FxWirePro: GBP/AUD drop accelerates on RBA's hawkish hike, good to sell on rally

• GBP/AUD declined   on Tuesday as Australian dollar rose after RBA hiked interest rates for a ninth straight policy meeting.

• RBA lifted its cash rate by 25 basis points to a decade-high of 3.35%, much as the market expected, but surprised some by saying further  increases  would be necessary.

• GBP/AUD   drops swiftly from 1.7462   to 1.7292(Daily low)   . Break lower 1.7262 (23.6%fib) risks run towards  1.7200.

• Technical are bearish, daily RSI is negative at38, daily momentum studies  11and 14 DMAs are trending down. 

• Immediate resistance is located at 1.7350 (5DMA ), any close above will push the pair towards 1.7379 (38.2%fib).

• Strong support is seen at 1.7262 (23.6%fib) and break below could take the pair towards 1.7220 (Lower BB).

Recommendation: Good to sell   around 1.7310, with stop loss of 1.7390 and target price of 1.7230
 

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