• GBP/AUD initially dipped but recovered some ground as investors reacted to the latest inflation reports from both the Eurozone and the US.
• Inflation in the Eurozone's 20 countries increased by 2.6% year-on-year in May, moving further away from the ECB's 2% target.
• The Commerce Department's Bureau reported on Friday that the personal consumption expenditures (PCE) price index rose by 0.3% last month.
• A close below 50%fib, will trigger a new bearish phase with potential for 1.9000.
• Immediate resistance is located at 1.9250(23.6%fib ), any close above will push the pair towards 1.93026(Higher BB).
• Strong support is seen at 1.9139 (38.2%fib) and break below could take the pair towards 1.9064 (50%fib).
Recommendation: Good to sell around 1.9150 with stop loss of 1.9220 and target price of 1.9050
