• GBP/AUD eased back towards 1.8000 on Wednesday as the cross pairs advance was capped by (Higher BB) at 1.8081.
• Today’s slight weakness takes cross pair within striking distance of 1.7961 (38.2%fib),proximity to strong support might encourage bulls to step in.
• Technical signals are bullish as RSI is at 55, daily momentum studies 5,9,10 DMA are trending up.
• Immediate resistance is located at 1.8081 (Higher BB ), any close above will push the pair towards 1.8149 (23.6%fib).
• Strong support is seen at 1.7961 (38.2%fib) and break below could take the pair towards 1.7893 (21DMA).
Recommendation: Good to buy on dips around 1.8000 with stop loss of 1.7900 and target price of 1.8100.
