• GBP/AUD eased slightly on Thursday as investors digested down beat UK GDP data.
• Britain’s economy slowed significantly in April, hit by Trump’s new tariffs and the expiry of a property tax break, official data showed Thursday.
• UK GDP fell 0.3% in April, the sharpest drop since October 2023 and worse than the 0.1% decline forecast, after 0.2% growth in March.
• The data was released just a day after Finance Minister Rachel Reeves unveiled a multi-year review allocating over £2 trillion in public spending across government departments.
• The technical outlook leans bullish as the RSI stands at 51 and the pair holds above both the 9-day and 14-day moving averages, indicating sustained upward momentum.
• Immediate resistance is located at 2.0944(June 12th high), any close above will push the pair towards 2.1050(Higher BB).
• Strong support is seen at 2.0804(50% fib) and break below could take the pair towards 2.0690(Lower BB)
Recommendation: Good to buy around 2.0830, with stop loss of 2.0450 and target price of 2.0950
