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• GBP/ AUD traded in tight range on Monday as investors paused ahead RBA rate decision .
• The RBA is expected to hold rates at 3.6% on Tuesday, with markets closely watching for any hints on future policy after stronger-than-expected inflation fueled speculation of a pause in easing..
• Australia’s consumer prices accelerated in August, with the annual CPI rising 3.0%, up from 2.8% in July.
• Following several rate cuts, economic growth strengthened in the second quarter, and the unemployment rate remained relatively stable, indicating the RBA may be able to slow the pace of further easing.
• Immediate resistance is located at 2.0470 (SMA 20), any close above will push the pair towards 2.0609(38.2%fib).
• Immediate support is seen at 2.0360 (23.6%fib) and break below could take the pair towards 2.0290 (Lower BB).
Recommendation: Good to buy around 2.0400, with stop loss of 2.0200 and target price of 2.0480
