• GBP/AUD rebounded 1.8685 level on Wednesday as risk-sensitive pound benefited from by global equity gains.
• Trading volumes were light, with many market players still on vacation and no economic data releases scheduled.
• Technical highlight downside risks for GBP/AUD, with momentum studies, 5, 10 and 21 DMAs tracking south.
• Immediate resistance is located at 1.8724(38.2%fib ), any close above will push the pair towards 1.8762 (Dec 22nd high).
• Immediate support is seen at 1.8595(23.6%fib ), break below could take the pair towards 1.8569 (Lower BB).
Recommendation: Good to sell around 1.8680 with stop loss of 1.8780 and target price of 1.8600
