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FxWirePro: GBP/AUD hovers around 1.8670 as market await US inflation data for direction

• GBP/AUD recovered  some ground  on Tuesday as U.S. inflation print for cues on the trajectory of interest rate.

• The pair pulled back after failing to break  support at 1.8585(38.2% fib), it was last trading at 1.7426

• Technical signals are bearish as RSI at 45, daily momentum studies  21, 30 and 50 DMA’s are trending down.

• Immediate resistance is located at 1.8761(5DMA), any close above will push the pair towards 1.8831( 23.6%fib).

• Immediate support is seen at 1.8585(38.2% fib) and break below could take the pair towards 1.8430(Apr 21st low).

 Recommendation: Good to sell  around 1.8680 with stop loss of 1.8740  and target price of 1.8600.

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