• GBP/AUD edged higher on Monday but remained defensive as traders braced for a hectic week of data releases and central bank meetings.
• The Bank of England will hold its last policy meeting of 2023 on Thursday. On the data front, UK labour market and GDP will be released on Tuesday and Wednesday .
• GBP/AUD remains vulnerable, only a break and daily close above 50% fib will shift bias to the upside.
• Technicals are favouring bearish sentiment as RSI is at 48 and the pair is trading below 11 & 21-DMAs.
• Immediate resistance is located at 1.9124 (21DMA), any close above will push the pair towards 1.9183 (50% fib).
• Strong support is seen at 1.9050 (38.2% fib) and break below could take the pair towards 1.8965 (Dec 4th low).
Recommendation: Good to sell on around 1.9160, with stop loss of 1.9200 and target price of 1.9020
