• GBP/AUD initially dipped sharply on Thursday on dovish BoE but broad Australian dollar weakness helped the recover most of the ground.
• Bank of England raised interest rates to their highest since 2009 but warned that the economy was at risk of recession.
• The pair hit daily low at 1.7167, but recovered back , it was last down 0.02% at 1.7362.
• Technical signals are bearish as RSI is at 65, daily momentum studies 5,9,21 DMA are trending north.
• Immediate resistance is located at 1.7503 (50%fib ), any close above will push the pair towards 1.7574 (21DMA).
• Strong support is seen at 1.7354 (38.2%fib) and break below could take the pair towards 1.7183 (23.6%fib).
Recommendation: Good to sell around 1.7370 with stop loss of 1.7500 and target price of 1.7260.
