• GBP/AUD declined on Thursday as weak UK GDP data weighed on British pound.
• The weak UK GDP data has also pushed up UK negative rate sentiment , which adds to GBP/AUD weakness.
• Bearish momentum is likely to pick up with a move below 38.2% fib, which would target support at the lower BB at 1.7933 and then 23.6% fib at 1.7830.
• Technical signals are bearish as RSI is at 46, daily momentum studies 5, 9 and 10 DMAs are trending down.
• On the upside, immediate resistance is located at 1.8138 (9 DMA ), any close above will push the pair towards 1.8232 (50% fib).
• On the downside, immediate support is seen at 1.8061 (38.2%fib ) and break below could take the pair towards 1.7931 (Lower BB).
Recommendation: Good to sell around 1.8130, with stop loss of 1.8250 and target price of 1.8050.
