• GBP/AUD strengthened on Friday as investors focus shifts to BoE rate decision.
• Sterling has outperformed nearly all other major developed-market currencies this year, with the exception of the U.S. dollar.
• This resilience can be attributed to steady economic growth in the UK, along with strong wage growth and persistent inflation in services.
• Technicals are favoring bullish sentiment as RSI is at 51 and the pair is trading above 5,10 & 11-DMAs.
• Immediate resistance is located at 1.9566 (38.2%fib), any close above will push the pair towards 1.9662 (23.6%fib)
• Strong support is seen at 1.9481(50% fib)and break below could take the pair towards 1.94041 (61.8% fib).
Recommendation: Good to buy around 1.9540, with stop loss of 1.9480 and target price of 1.9600
