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FxWirePro: GBP/AUD attracts selling interest, vulnerable to more downside

• GBP/AUD declined on Tuesday as disappointing UK May CBI data coupled with less-hawkish BoE tones weighed on sterling.

• The drop in retail sales came in stark contrast to recent upbeat UK data releases that showed the UK economic recovery  was starting to acquire energy as COVID and Brexit-related development issues decreased.

• The is pair heading towards the 38.2%fib, as near term direction of the pair is likely to be driven by current price action.  

• Immediate resistance is located at 1.8537 (9 DMA ), any close above will push the pair towards 1.8665 (23.6% fib).

• Strong support is seen at 1.8188 (38.2%fib) and break below could take the pair towards 1.8128 (14DMA).

Recommendation: Good to sell on  around 1.8250, with stop loss of 1.8305 and target price of 1.9150

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