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• GBP/AUD declined on Tuesday as Brexit uncertainty weighed on on British pound.
• Brexit remains a risk for the pound as talks on a future trade deal with the European Union after the UK’s exit fail to make progress.
• At GMT 18:03, the pair already trading lower on the day, extended its drop to hit 1.7980, lowest since 27th July 2020.
• Technicals leans bearish as RSI is at 38 bearish, and 5, 9,11 DMA’s are trending south.
• On the upside, immediate resistance is located at 1.8061(38.2 % fib ), any close above will push the pair towards 1.8133 (50%fib).
• On the downside, strong support is seen at 1.7961 (Daily low) and break below could take the pair towards 1.7927(23.6% fib).
Recommendation: Good to sell on rallies around 1.8000, with stop loss of 1.8100 and target price of 1.7880.
