• GBP/AUD declined on Friday as the pair attracted sellers after weak U.S. jobs data.
•The knee jerk reaction was negative for the pair as a big miss with the headline number pretty much ruled out a September taper by Fed.
• U.S. job growth came in well below expectations in August amid a jump in COVID-19 infections.
• The is pair heading towards the 1.8518 (23.6%fib), as near term direction of the pair is likely to be driven by current price action.
• Technical are bearish, daily RSI is negative at 36, daily momentum studies 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.8574 (Ichimoku cloud base ), any close above will push the pair towards 1.8518 (21DMA).
• Strong support is seen at 1.8574 (Ichimoku cloud base )and break below could take the pair towards 1.8518 (23.6%fib).
Recommendation: Good to sell on around 1.8620, with stop loss of 1.8700 and target price of 1.8530
