FxWirePro :GBP/AUD shorts look for key support break as hawkish RBA policy statement bolsters AUD

• GBP/AUD dipped on Tuesday  as  Australian dollar   jumped against pound  after the Reserve Bank of Australia (RBA) surprised with a rate increase.

• In the policy statement, the RBA indicated that inflation remains  too high , and the additional interest rate increase aims to provide greater confidence that inflation will return to the target.

• Technicals are favouring bearish sentiment as RSI is at 46 and the pair is trading below   5,10 & 11-DMAs.

• Immediate resistance is located at 1.8727(50%fib), any close above will push the pair towards 1.8829(61.8%fib)

• Strong support is seen at 1.8615 (38.2% fib)and break below could take the pair towards 1.8534 (Lower BB).

Recommendation: Good to sell  around 1.8620, with stop loss of 1.8730 and target price of  1.8530