FxWirePro: GBP/AUD extends its drop, potential for further bearish continuation

• GBP/AUD extended declined on Tuesday   as hawkish Reserve Bank of Australia and support from fresh Chinese stimulus boosted Australian dollar.

• Beijing announced a range of support measures, including rate cuts and new funding for equity purchases, aimed at propping up the struggling economy.

• The RBA kept its key interest rate unchanged in September, indicating that borrowing costs are likely to remain at the current 12-year high for an extended period.  

• Immediate resistance is located at 1.9517(38.2% fib), any close above will push the pair towards 1.9568(Daily high).

• trong support is seen at 1.9395 (23.6% fib) and break below could take the pair towards 1.9356 (Lower BB).

Recommendation: Good to sell on  around 1.9480, with stop loss of 1.9550 and target price of 1.9350