• GBP/AUD initially slipped after BoE Governor Andrew Bailey comments but rebounded back above 1.8400 handle.
•Bank of England Governor Andrew Bailey stressed temporary factors of rising inflation and warned market participants not to overreact on monetary conditions prematurely.
• At GMT 17:16, the pair was trading down 0.01 percent at 1.8426 after reaching daily low at 1.8393.
• Bullish momentum is likely to pick up with a move above 38.2% fib, which would target resistance at the higher BB at 1.8502 and then 23.6% fib at 1.8539.
• Immediate resistance is located at 1.8446 (38.2%fib ), any close above will push the pair towards 1.8502 (Higher BB).
•Immediate support is seen at 1.8370 (50%fib ) and break below could take the pair towards 1.8299 (61.8% fib).
Recommendation: Good to buy around 1.8400, with stop loss of 1.8310 and target price of 1.8520.
