FxWirePro: GBP/AUD falls sharply after UK fiscal event and UK PMI data, could be on verge of a bigger drop

• GBP/AUD declined sharply  on Friday  after UK finance minister Kwasi Kwarteng laid out a series of tax cuts in a bid to boost growth.

•The pound tumbled against Australian dollar after Kwarteng's speech, and was last trading   around 1.6660 down 1.6% against the Australian dollar .

•The pair is approaching 23.6%fib,a daily close below   will accelerate towards 1.6500 in the short term.

 • From a technical viewpoint, the moving averages are pointing downwards, while the RSI  is   strongly bearish at 30.

• Immediate resistance is located at 1.6830(38.2%fib), any close above will push the pair towards 1.6918 ( 5DMA).

• Strong support is seen at 1.6644 (23.6%fib) and break below could take the pair towards 1.6600 (Lower BB).

Recommendation: Good to sell around 1.6650, with stop loss of 1.6760and target price of 1.6570