FxWirePro: GBP/AUD eases slightly but trend is still bullish

• GBP/AUD eased  on Friday as broad rally in gold, silver, copper and global equities supported demand for the Australian dollar.

•  Australia’s economic calendar will be dominated by the release of the Reserve Bank of Australia’s (RBA) September meeting minutes, due Tuesday, which could provide fresh clues on the central bank’s interest-rate outlook..

• Two days later, September employment data will take centre stage, with investors assessing labour market conditions for further direction on the Australian dollar.

• In the US, investors will focus on consumer and producer inflation data for clues on price pressures and the Federal Reserve’s interest-rate outlook. Markets will also assess retail sales, employment reports and comments from Fed officials for further insight into the strength of the economy and the central bank’s next policy moves.

.• Money markets are pricing in an 85% probability of a RBA 25-basis-point rate hike in November, which would lift the policy rate to 4%, with four further hikes expected by mid-next year.

• Immediate resistance is located at 1.9018(50%fib), any close above will push the pair towards 1.9104(61.8%fib).
 

• Immediate support is seen at 1.8936(50%fib) and break below could take the pair towards 1.8918(Lower BB).

Recommendation: Good to buy around 1.8940, with stop loss of 1.8870 and target price of 1.9000