FxWirePro- Currency Strength Index (4- Hour chart)- Currency pairs to watch (EURGBP and GBPJPY) for the day)
FxWirePro: GBP/AUD heads deeper into bear territory, bears plotting path toward 1.8700
• GBP/AUD declined on Thursday as Australian dollar was supported by strong domestic jobs data and iron ore gains.
• Data from the Australian Bureau of Statistics showed Thursday that employment rose 64,800 in December, beating market forecasts for a 43,300 rise and adding to November's record jump of 366,000.
• The is pair heading towards the 30DMA, as near term direction of the pair is likely to be driven by current price action.
• Technical are bearish, daily RSI is negative at 49, daily momentum studies 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.8862(61.8%fib ), any close above will push the pair towards 1.8945 (19th Jan high).
• Strong support is seen at 1.8750 (50%fib) and break below could take the pair towards 1.8687 (30DMA).
Recommendation: Good to sell on around 1.8790, with stop loss of 1.8880 and target price of 1.8700