• GBP/AUD initially dipped on Thursday on rebound sharply as pound was aided by by rocketing gilt yields and hawkish BoE expectations.
• The Bank of England lifted rates for a fifth time since December by 25 basis points.
• The pair hit daily low at 1.7311, but rebounded sharply , it was last up 1.34% at 1.7612.
• Technical signals are bullish as RSI is at 53, daily momentum studies 5,9,and 11 DMA's are trending north.
• Immediate resistance is located at 1.7663(23.6%fib ), any close above will push the pair towards 1.7714 (23.6%fib).
• Strong support is seen at 1.7557 (38.2%fib) and break below could take the pair towards 1.7529 (20DMA).
Recommendation: Good to buy around 1.7600 with stop loss of 1.7500 and target price of 1.7700.
