FxWirePro: GBP/AUD drops on unexpected negative UK GDP print

• GBP/ AUD slipped lower  on Friday  after President Trump announced a delay in some auto tariffs, easing trade tensions and boosting market sentiment.

•   Britain's economy unexpectedly contracted in January, with the gross domestic product falling 0.1% versus expectations of a 0.1% monthly expansion.

• Manufacturing output dropped 1.1% in January, led by poor performance in the metals and pharmaceutical sectors, while the broader industrial sector was also impacted by a decline in oil and gas extraction.

•Construction output fell 0.2%, with the ONS attributing the decline to stormy weather affecting construction activity, according to anecdotal evidence from companies.

• Technical signals are bullish as RSI is at 62,while moving averages and MACD are trending higher.

• Immediate resistance is located at 2.0612(23.6%fib), any close above will push the pair towards 2.0740(Higher BB).

• Immediate support is seen at 2.0413( (38.2%fib) and break below could take the pair towards 2.0259(50%fib).

Recommendation: Good to buy around 2.0400, with stop loss of 2.0250 and target price of 2.0550