• GBP/AUD declined on Friday as Brexit risks and a coronavirus-induced economic slowdown weighed on GBP.
• The is pair heading towards the lower bollinger band, as the UK news turns more negative. Only a break and daily close above 23.6% fib at 1.9147 will shift bias to the upside.
• Technical signals are bearish as RSI is at 31, daily momentum studies 5, 9 and 10 DMAs are trending down.
• On the upside, immediate resistance is located at 1.8897 (5 DMA ), any close above will push the pair towards 1.9147 (23.6% fib).
• On the downside, immediate support is seen at 1.8800 (Psychological level ) and break below could take the pair towards 1.8746 (Lower BB).
Recommendation: Good to sell around 1.8880, with stop loss of 1.9150 and target price of 1.8700.
