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• GBP/AUD initially dipped but recovered ground on Monday as investors looked towards UK employment , inflation data and upcoming RBA rate decision.
• Economic data will be crucial for the pound this week, following the Bank of England's rate cut and its cautious stance on price pressures.
• Meanwhile, the Reserve Bank of Australia is set to announce its rate decision on Tuesday, with a widely expected 25 basis point cut to the official cash rate (OCR), currently at 4.35% since November 2023.
• Immediate resistance is located at 1.9903(38.2%fib ), any close above will push the pair towards 2.0780(23.8%fib).
• Strong support is seen at 1.9767(50%fib) and break below could take the pair towards 1.9623 (61.8%fib).
Recommendation: Be on side-lines
