FxWirePro:GBP/AUD heads deeper into bear territory, bears plotting path toward 1.8400

• GBP/AUD declined on Monday   as the escalating crisis in Ukraine clouded the outlook for global growth and inflation weighed on the pair.

• The Reserve Bank of Australia holds its monthly policy meeting on Tuesday and is set to keep rates at 0.1% and reiterate that a first hike may come later this year if the economy improves  .

• The is pair heading towards 1.8400 level, as near term direction of the pair is likely to be driven by current price action.  

• Technical are bearish, daily RSI is negative at 28, daily momentum studies  9 and 10 DMAs are trending down. 

• Immediate resistance is located at 1.8556(38.2%fib ), any close above will push the pair towards 1.8602(Ichimoku Cloud Base).

• Strong support is seen at 1.8463 (23.6% fib) and break below could take the pair towards 1.8416 (Dec 16th 2021 low).

Recommendation: Good to sell on  around 1.8480, with stop loss of 1.8570 and target price of 1.8400