• GBP/AUD strengthened on Tuesday after PMI survey data showed UK businesses expand at fastest pace in 11 months.
• The S&P Global UK Composite Purchasing Managers' Index (PMI) for the services and manufacturing sectors reached an 11-month peak of 54.0 in April, up from 52.8 in March.
• A rally towards is 1.9300 level is possible if GBP/AUD bulls overcome resistance at 1.9251 (38.2%fib ).
• Technical signals are bullish as RSI is at 66, simple moving averages 5, 9, 11 are trending up.
• Immediate resistance is located at 1.9251 (38.2%fib ), any close above will push the pair towards 1.9316( April 15th high )
• Strong support is seen at 1.9121 (50%fib ) and break below could take the pair towards 1.9056(Higher BB).
Recommendation: Good to buy on dips around 1.9180 with stop loss of 1.9100 and target price of 1.9270
