• GBP /AUD strengthened on Thursday as recovering risk sentiment in global markets helped pound gain against Australian dollar.
• The best performing “G10” currency on the day, sterling was up 0.16% against Aussie at 1.8660 by 1400 GMT.
• Technical signals are bullish as RSI is at 66, daily momentum studies 5, 9 and 10 DMAs are trending north..
• Immediate resistance is located at 1.8694 (23.6%fib), any close above will push the pair towards 1.8752(Higher BB).
• Immediate support is seen at 1.8578 (38.2%fib) and break below could take the pair towards 1.8545 (5DMA).
Recommendation: Good to buy on dips around 1.8650, with stop loss of 1.8500 and target price of 1.8740.
