• GBP/AUD recovered some ground after initially falling on Wednesday as investors took heart from COVID vaccine, global growth optimism and EU recovery proposal.
• The pair initially declined sharply , rebounds towards 1.7830 after finding resistance at 1.7693 (23.6% fib).
• GBP/AUD remains vulnerable, only a break and daily close above 1.8000 (Psychological level) will shift bias to the upside.
• Technical are bearish, daily RSI is negative at 35, daily momentum studies 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.7951 (38.2% fib ), any close above will push the pair towards 1.7998 (11 DMA).
• Strong support is seen at 1.7800 (Psychological level) and break below could take the pair towards 1.7700 (23.6% Fib).
Recommendation: Good to sell around 1.7850, with stop loss of 1.8000 and target price of 1.7750
