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FxWirePro: GBP/AUD slides on BoE chief's dovish guidance

• GBP/AUD slipped lower on Monday  as pound was weighed down by dovish comments from BoE Governor Andrew Bailey.

• Governor Andrew Bailey emphasizing the importance of upcoming labour market data due Thursday, suggesting rate cuts could be on the table if the jobs picture deteriorates further.

• UK Inflation and jobs data due later this week could shape expectations for the central bank’s next policy move.  

• Traders expect the BoE to cut rates to 4% in August, with markets also anticipating a second cut before the end of 2025.

• Technical signals remain bearish, with RSI at 36 and the 5-, 9-, and 11-day moving averages all trending lower.

•  Immediate resistance is located at 2.0672(July 1th high), any close above will push the pair towards 2.0807 (20 SMA).

• Strong support is seen at 2.0470(50% fib) and break below could take the pair towards 2.0411(Lower BB

Recommendation: Good to sell  around 2.0530, with stop loss of 2.0650 and target price of 2.0450
 

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