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FxWirePro:GBP/AUD slides after cooler inflation data,good to sell on rally

• GBP/AUD dipped on Wednesday   as sterling attracted sellers after   surprise cooling of British inflation.

• British inflation fell to a more than expected 7.9% in June, its slowest pace in more than a year. Economists were forecasting a rise of 8.2%.

• At GMT 18:06, the pair was trading down 0.36 percent  at 1.9082 after reaching daily low at 1.9011.

Technical signals show the pair could lose more ground in the short-term as RSI is at 49 bearish, daily momentum studies 5, 10 and 21 DMAs are trending  down.

• Immediate resistance is located at 1.9118 (5DMA), any close above will push the pair towards 1.9168 (23.6%fib)

• Immediate support is seen at 1.9003(38.2%fib ) and break below could take the pair towards 1.8901 (Lower BB).

Recommendation: Good to sell  around 1.9090, with stop loss of 1.9150 and target price of 1.9000.

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