• GBP/AUD retreated in U.S. trade on Wednesday, giving back some of its earlier gains as comments from Prime Minister Boris Johnson weighed on pound.
•Optimism eroded after Johnson said the UK remained ready to depart on Canadian or Australian trade terms in the event that negotiations failed .
• Selling pressure will remain in the short-term, only a move above 1.8155 ( 61.8 % fib) strong will shift bias higher.
• From a technical viewpoint, the moving averages are pointing downwards, while the RSI is strongly bearish at 42.
• On the upside, Immediate resistance is located at 1.8038( 38.2%fib), any close above will push the pair towards 1.8099 ( 14DMA).
• On the downside, strong support is seen at 1.7911 (38.2% fib ) and break below could take the pair towards 1.7763(23.6% fib).
Recommendation: Good to sell around 1.8000, with stop loss of 1.8155 and target price of 1.7920.
