• GBP/AUD declined on Wednesday as upbeat Australian GDP data boosted Australian dollar against pound.
• Data showed the Australian economy grew by 0.7% in the June quarter, beating forecasts of a 0.5% increase.
• The is pair heading towards the lower 50%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 40, daily momentum studies 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.8787(61.8%fib ), any close above will push the pair towards 1.8874 (21DMA).
• Strong support is seen at 1.8671 (50%fib ), and break below could take the pair towards 1.8559(38.2%fib).
Recommendation: Good to sell on around 1.8700, with stop loss of 1.8780 and target price of 1.8630
