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FxWirePro: GBP/AUD extends gains after weak Australian GDP data, room for further gains

• GBP/AUD  gained further ground on Wednesday as  weaker commodities  price and weak Australian GDP data weighed on Australian dollar.

•Australia's economy saw only a marginal growth of 0.1 percent in the March quarter, falling short of the projected 0.2 percent increase.

• A rally towards is 1.9300 level is  possible if  GBP/AUD bulls overcome resistance at 38.2%fib.

• Technical signals are bullish as RSI is at 59, daily momentum studies  5  , 9 DMA’s are trending up. 

•  Immediate resistance is located at 1.9261 (38.2%fib ), any close above will push the pair towards 1.9338(23.6%fib).

• Strong support is seen at 1.9197(50%fib) and break below could take the pair towards 1.9137 (50%fib).

Recommendation: Good to buy on dips around 1.9220 with stop loss of 1.9110  and target price of 1.9300
 

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