FxWirePro: GBP/AUD downtrend loses steam but outlook still bearish
• GBP/AUD recovered from initial declined on Friday as traders remained reluctant to push the pair beyond recent ranges.
• The pair slid to hit daily low at 1.8356 after UK retail sales disappointed, but recovered to trade at 1.8419.
• GBP/AUD remains vulnerable, only a break and daily close above 1.8520(50%fib) will shift bias to the upside.
• Technical are bearish, daily RSI is negative at 37, daily momentum studies 5,10 and 14 DMAs are trending down.
• Immediate resistance is located at 1.8438 (38.2%fib ), any close above will push the pair towards 1.8479(11DMA).
• Strong support is seen at 1.8363(Daily low) and break below could take the pair towards 1.8325 (23.6%fib).
Recommendation: Good to sell around 1.8430, with stop loss of 1.8550 and target price of 1.8350