Menu

Search

  |   Technicals

Menu

  |   Technicals

Search

FxWirePro: GBP/AUD neutral in the near term, scope for downward resumption

• GBP/AUD   initially gained on Monday but gave up ground as weak UK GDP weighed on pound.

• Weak UK GDP data and  some of the post-Brexit trade rules for Northern Ireland added to the risk-sensitive pound's woes. 

• The is pair heading towards the (38.2%fib), as the UK news turns more negative. Only a break and daily close above 38.2% fib resistence will shift bias to the upside.

•Technical signals are bearish as RSI is at 47, daily momentum studies  5, 9 and 10 DMAs are trending down.

•Immediate resistance is located at 1.7561 (21 DMA ), any close above will push the pair towards 1.7632 (38.2% fib).

•Immediate support is seen at 1.7424(38.2%fib ) and break below could take the pair towards 1.7276 (Lower BB).

Recommendation: Good to sell on rallies around 1.7500, with stop loss of 1.7600 and target price of 1.7390.

  • Market Data
Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.