• GBP/AUD recovered some ground on Friday after strong non-farm payrolls but gains were limited as investors awaited new catalyst to emerge.
• GBP/AUD pair recovered slightly. It was up 0.12% at 1.7322.
• GBP/AUD remains vulnerable, only a break and daily close above ichimoku cloud base at 1.7603 will shift bias to the upside.
• Technical signals are bearish as RSI is at 45, daily momentum studies 5 and 11 DMAs are trending down.
• Immediate resistance is located at 1.7425 (5 DMA ), any close above will push the pair towards 1.7538 (38.2% fib).
• Strong support is seen at 1.7272 (23.6% fib) and break below could take the pair towards 1.7183 (May 5th low).
Recommendation: Good to sell on around 1.7330, with stop loss of 1.7430 and target price of 1.7250
