• GBP/ AUD rose sharply on Friday as better than expected UK GDP boosted pound.
• A report from the Office for National Statistics showed the UK economy expanded at a steady pace in the fourth quarter, with gross domestic product growing 1% sequentially,.
• The pair currently is approaching resistance at 1.9009 ( 38.2%fib). A break above 38.2%fib would unmask 1.9121(Higher BB)level in the short term.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 55,while moving averages and MACD are trending higher.
• Immediate resistance is located at 1.9009( 38.2%fib), any close above will push the pair towards 1.9121(Higher BB).
• Immediate support is seen at 1.8940 (5DMA) and break below could take the pair towards 1.8902(50%fib).
Recommendation: Good to buy around 1.8990, with stop loss of 1.8900 and target price of 1.9100
