• GBP/AUD initially gained but gave up ground as investors braced for a busy week of central bank meetings, including the Bank of England.
• Forex markets are bracing for Wednesday’s Federal Reserve policy decision, with a 25-basis-point rate cut fully priced in by traders.
• Traders widely expect the Fed to deliver a 25 basis-point cut at the end of its policy meeting on Wednesday, with the probability of such a move near 100%, according to CME's FedWatch tool.
• The Bank of England is widely expected to keep interest rates unchanged at its policy meeting on Thursday, with persistent inflation prompting caution
• Technical indicators remain firmly bearish, with the RSI at 31 and both the 9- and 11-day moving averages trending downward, reinforcing negitive momentum.
• Immediate resistance is located at 2.0459(Sep 15th high), any close above will push the pair towards 2.0578 (50%fib).
• Strong support is seen at 2.0358(38.2%fib) and break below could take the pair towards 2.0293(Lower BB).
Recommendation: Good to sell around 2.0400, with stop loss of 2.0520 and target price of 2.0320
