• GBP/AUD dipped on Wednesday as sterling attracted sellers after surprise cooling of British inflation.
• British inflation fell to a more than expected 7.9% in June, its slowest pace in more than a year. Economists were forecasting a rise of 8.2%.
• At GMT 18:06, the pair was trading down 0.36 percent at 1.9082 after reaching daily low at 1.9011.
Technical signals show the pair could lose more ground in the short-term as RSI is at 49 bearish, daily momentum studies 5, 10 and 21 DMAs are trending down.
• Immediate resistance is located at 1.9118 (5DMA), any close above will push the pair towards 1.9168 (23.6%fib)
• Immediate support is seen at 1.9003(38.2%fib ) and break below could take the pair towards 1.8901 (Lower BB).
Recommendation: Good to sell around 1.9090, with stop loss of 1.9150 and target price of 1.9000.
