• GBP/ AUD edged higher on Wednesday as Australian dollar eased after data showed Australia's inflation slowed to a 17-month low in July.
• Data from the Australian Bureau of Statistics showed its monthly consumer price index (CPI) rose 4.9% in the year to July, down from 5.4% the previous month and under market forecasts of 5.2%.
• A close above 23.6%fib, should trigger a new bullish phase with potential for 1.9850.
• Technicals highlight downside risks 14-day momentum confirming price pick-up
• Immediate resistance is located at 1.9686(23.6%fib), any close above will push the pair towards 1.9878(23.6%fib).
• Immediate support is seen at 1.9490(38.2%fib) and break below could take the pair towards 1.9475 (30DMA).
Recommendation: Good to buy around 1.9600, with stop loss of 1.9500 and target price of 1.9720
