FxWirePro: GBP/AUD recovery facing steep rock, likely to falter
• GBP/AUD strengthened on Wednesday but gains were limited as caution prevailed ahead of the BOE policy meeting . • The Bank of England is expected to vote 8-1 in favor of keeping interest rates steady as it navigates an…
• GBP/AUD strengthened on Wednesday but gains were limited as caution prevailed ahead of the BOE policy meeting .
• The Bank of England is expected to vote 8-1 in favor of keeping interest rates steady as it navigates an uncertain inflation forecast impacting the UK economy.
• GBP/ AUD remains well below 38.2%fib resistence,daily close below 23.6%fib increase the scope for much bigger drop.
• Technical signals show the pair could lose more ground in the short-term as RSI is down at 38, daily momentum studies 5, and 9 DMAs are trending down.
• Immediate resistance is located at 1.9016 (38.2%fib), any close above will push the pair towards 1.9078 (50%fib).
• Strong support is seen at 1.8947 (23.6%fib) and break below could take the pair towards 1.8908 (Lower BB ).
Recommendation: Good to sell around 1.9000 with stop loss of 1.9100 and target price of 1.8910
