FxWirePro: GBP/AUD drifts lower , could be on verge of a bigger drop

• GBP/AUD declined on Monday as commodity linked Australian dollar was supported by gains in iron ore and copper.
• The pair hit daily low at 1.7797, it was last down 0.56% at GMT 17:38.

•The pair is approaching ichimoku cloud base at 1.7776,a daily close below which will accelerate towards 1.7736 (38.2%fib).

 • From a technical viewpoint, the moving averages are pointing downwards, while the RSI  is strongly bearish at 39.

• Immediate resistance is located at 1.7836( 50%fib), any close above will push the pair towards 1.7932 ( Ichimoku Cloud Top).

• Strong support is seen at 1.7776 ( Ichimoku Cloud Base) and break below could take the pair towards 1.7736 ( 38.2%fib).

Recommendation: Good to sell around 1.7820, with stop loss of 1.7930 and target price of 1.7750.