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FxWirePro: GBP/AUD range to extend until there is game changing news

• GBP/ AUD edged higher on Monday   but gains were limited  as UK bank holiday, end of summer liquidity kept  flows relatively light.

• Above-target UK inflation and continued BoE hikes are likely to remain key support for sterling  amid the current high-for-longer Fed rate outlook.

• GBP/ AUD traded in  range 1.9572-1.9637, the pair was last trading up 0.08 percent   at  1.9600.

• Technical signals show the pair could gain more ground in the short-term as RSI bullish at 56.

• Immediate resistance is located at 1.9696 (Aug 15th high), any close above will push the pair towards 1.9774(23.6%fib).

• Strong support is seen at 1.9546 (38.2% fib) and break below could take the pair towards 1.9442 (30DMA )

Recommendation: Good to buy around 1.9600 , with stop loss of 1.9500  and target price of 1.9700

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