• GBP/AUD initially dipped but recovered some ground on Friday as investors assessed this weeks BoE rate decision and Middle East hostilities.
• British finance minister John Healey said he will hold his first budget on October 28 and pledged to stick to the borrowing rules he inherited from his predecessor Rachel Reeves.
•Economists say the government has only a small margin of error for hitting that target and some of Prime Minister Andy Burnham's policy priorities such as extra defence spending and better social care will put more strain on the public finances.
•The Bank of England held interest rates on Thursday, but the number of dissenters was three compared with expectations of two, as the impact of the Iran conflict on the economy worried policymakers..
• Immediate resistance is located at 1.9198(SMA 20), any close above will push the pair towards 1.9235(38.2%fib).
• Immediate support is seen at 1.9092 (50%fib) and break below could take the pair towards 1.8089(Lower BB).
Recommendation: Good to sell around 1.9190, with stop loss of 1.9250 and target price of 1.9080
