• 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
