• GBP/AUD strengthened on Friday as sterling continued to attracted buying on interest on expectation that the Bank of England would hold the rate steady at 5.25%. • Slower and lower BoE rate path is likely to keep sterl…
• GBP/AUD strengthened on Friday as sterling continued to attracted buying on interest on expectation that the Bank of England would hold the rate steady at 5.25%.
• Slower and lower BoE rate path is likely to keep sterling broadly bid against Australian dollar.
• GBP/AUD hit daily low at 1.9292, before bouncing towards1.9405. Resistance at 1.9427 (38.2%fib) is now threatened.
• Technical signals are bullish as RSI at 54, moving averages are trending up.
• Immediate resistance is located at 1.9427 ( 38.2%fib), any close above will push the pair towards 1.9524 ( Higher BB).
• Immediate support is seen at 1.9271(50%fib) and break below could take the pair towards 1.9208(Lower BB).
Recommendation: Good buy around 1.9400 with stop loss of 1.9230 and target price of 1.9480.
