FxWirePro: GBP/AUD dips below lower range, bearish bias increases
• GBP/AUD declined on Tuesday as expectations that RBA will tighten monetary policy much sooner than expected and gains in commodity market boosted Australian .
• The pair is approaching to test support at 1.8421 (23.6%fib ), a break below 1.8421 will increase downward momentum further.
• Technical are bearish, daily RSI is negative at 34, daily momentum studies 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.8527 (38.2%fib ), any close above will push the pair towards 1.8564 (14DMA).
• Strong support is seen at 1.8421 (23.6%fib ), and break below could take the pair towards 1.8384 (Lower BB).
Recommendation: Good to sell on around 1.8450, with stop loss of 1.8530 and target price of 1.8350