• GBP/ AUD steadied on Tuesday as broad risk-off sentiment and lower commodities prices weighed on Australian dollar.
• Copper prices fell to their lowest in over two weeks on Tuesday, driven by concerns that a sluggish Chinese economy is dampening demand.
• Dalian iron ore futures recorded their steepest daily decline in nearly two years on Tuesday, as disappointing economic data from leading consumer China cast doubt on demand prospects.
• Technical signals show the pair could gain more ground in the short-term as RSI is rising from below,while moving averages are trending higher.
• Immediate resistance is located at 1.9600(Psychological level), any close above will push the pair towards 1.9684(23.6%fib).
• Immediate support is seen at 1.9502 (38.2%fib) and break below could take the pair towards 1.9382 (50%fib).
Recommendation: Good to buy around 1.9570, with stop loss of 1.9500 and target price of 1.9650
