- GBP/AUD failed to extend weakness below 200-DMA, breaks above 100-DMA at 0.7937.
- Technical studies are biased higher. Momentum bullish with RSI strong and rising.
- We evidence bullish divergence on Stochs which adds to the upside bias.
- Next major bull target lies at 61.8% Fib at 1.8082, break above could see further upside.
- On the flipside, 55-EMA is strong support at 1.7840, break below could see minor weakness.
- Violation at 200-DMA to invalidate bullish bias.
Support levels - 1.79, 1.7840 (55-EMA), 1.7796 (5-DMA)
Resistance levels - 1.80, 1.8080 (61.8% Fib), 1.81
Recommendation: Stay long on close above 100-DMA, SL: 1.79, TP: 1.80/ 1.8080/ 1.81
FxWirePro Currency Strength Index: FxWirePro's Hourly GBP Spot Index was at -0.616109 (Neutral), while Hourly AUD Spot Index was at -164.265 (Bearish) at 0530 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
