FxWirePro: GBP/AUD drops below 2.0000 level, heads deeper into bear territory

• GBP/AUD slipped  below 2.0000 level as increased risk appetite and expectation of hawkish RBA policy outlook lifted the Australian dollar.

•Risk sentiment improved after Trump said Wednesday he has no plans to fire Fed Chair Jerome Powell despite a Justice Department probe, though he added it was “too early” to make a final decision.

• The RBA delivered a hawkish hold, keeping the cash rate unchanged at 3.60% and maintaining a firm policy tone.

•Governor Michele Bullock signaled the central bank is in no rush to cut rates, pushing back against near-term easing bets and indicating the Board is comfortable holding policy steady while remaining ready to tighten further if inflation stays stubborn.

• Attention now shifts to the Q4 trimmed mean CPI print due later in January, which could shape the next stage of the policy discussion.

• Immediate resistance is located at 2.0121 (SMA 20), any close above will push the pair towards 2.0235(38.2%fib).

• Immediate support is seen at 1.9959(23.6%fib) and break below could take the pair towards 1.9916 (Lower BB).

Recommendation: Good to sell around 2.0080 with stop loss of 2.0160 and target price of 1.9950