• GBP/AUD strengthened on Thursday as disappointing Australian jobs data kicked off the drop in Australian dollar against pound.
• Australian dollar also weakened on lower commodity prices as worries about China extended the slide in iron ore prices, while copper fell over 3%.
• At GMT 21:42, the pair was trading 0.03% higher at 1.8904 after reaching daily high at 1.8937
• Technical signals are bullish as RSI is at 59, daily momentum studies 5,9,21 DMA are trending north.
• Immediate resistance is located at 1.8934 (23.6%fib ), any close above will push the pair towards 1.8832 (38.2%fib).
• Strong support is seen at 1.8904 (38.2%fib ),and break below could take the pair towards 1.8784 (50DMA).
Recommendation: Good to buy on dips around 1.8900 with stop loss of 1.8820 and target price of 1.8980
