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• GBP/AUD initially dipped on Monday but recovered some of the ground as investors awaited Wednesday´s UK inflation .
• Investors are awaiting UK CPI data on Wednesday, which is expected to validate the BoE's hawkish monetary policy stance from last week, despite the light calendar today.
• The pair hit daily low at 1.8804, but recovered back , it was last down 0.18% at 1.8869.
• Technical signals are bearish as RSI is at 39, daily momentum studies 5,9,21 DMA are trending south.
• Immediate resistance is located at 1.8931(50%fib), any close above will push the pair towards 1.8986 (61.8%fib).
• Strong support is seen at 1.8869 (38.2%fib) and break below could take the pair towards 1.8794(23.6%fib).
Recommendation: Good to sell around 1.8890 with stop loss of 1.8980 and target price of 1.8800
