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FxWirePro:GBP/AUD dips to 1-1/2 month low on UK rate view

• GBP/AUD dipped to hit  1-1/2 month on Friday as   traders looked ahead to the Bank of England's interest rate decision next week.

• Pricing in derivatives markets shows traders think it highly likely that policymakers will increase borrowing costs by 25 basis points to 5.5%.

• A close below   support at 61.8% fib will give further momentum to bears, opening the way for a run towards 1.9150 level.

• Technical are bearish, daily RSI is negative at 37, daily momentum studies  9 and 10 DMAs are trending down. 

• Immediate resistance is located at 1.9371 (5DMA ), any close above will push the pair towards 1.9454 (50% fib).

• Strong support is seen at 1.9208 (61.8% fib) and break below could take the pair towards 1.9182 (Lower BB).

Recommendation: Good to sell on  around 1.9260, with stop loss of 1.9380 and target price of 1.9160
 

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