• GBP/AUD declined on Tuesday as fresh plunge in oil prices underscored the economic shock from the coronavirus.
• GBP/AUD is technically poised to move lower after breaking and closing below previously strong support at 1.9460.
• The short-term trend indicators are bearish, with the 5, 10 and 21-day moving averages aligned in a bearish formation.
• Immediate resistance is located at 1.9335 ( 5 DMA), any close above will push the pair towards 1.9460 ( 38.2 % fib).
• Strong support is seen at 1.9180 (23.6% fib ) and break below could take the pair towards 1.9000 (Psychological level).
Recommendation: Good to sell around 1.9180, with stop loss of 1.9470 and target price of 1.9000.
