FxWirePro: GBP/AUD reverses early rally ,bias back to downside

• GBP/AUD initially gained  on Monday but reversed course  as investor sentiment soured towards riskier assets due to growing fears over a possible recession in the United States.

• Markets have been impacted by Friday's weak U.S. July payrolls report, which showed an increase in the unemployment rate to 4.3%,fueled concerns that the world's largest economy may be heading toward a recession.

•The pair is approaching 38.2%fib support,a daily close below which will accelerate towards 1.9500 level.

• Immediate resistance is located at 1.9797( 23.6%fib), any close above will push the pair towards 1.9892( Higher BB).

• Strong support is seen at 1.9628 (38.2%fib) and break below could take the pair towards 1.9499 ( 50%fib).

Recommendation: Good to sell around 1.9700, with stop loss of 1.9800 and target price of 1.9620