• GBP/AUD extended its yesterday’s decline as US-China trade tensions and lingering Brexit concerns weighed on British pound.
• The pullback from the recent 1.9530 high has passed through the 23.6% fibonacci retrace point at 1.9424 and now eyes the lower bollinger bands at 1.9060.
• Technical signals are bearish as RSI is at 40, daily momentum studies 50 DMA, 5 EMA are trending down.
• Immediate resistance is located at 1.9424 ( 23.6% fib), any close above will push the pair towards 1.9500 ( 21 DMA).
• Immediate support is seen at 1.9275 (9 DMA) and break below could take the pair towards 1.9050 (Lower BB).
Recommendation: Good to sell around 1.9300, with stop loss of 1.9430 and target price of 1.9050.
