• GBP/ AUD strengthened on Monday as expectation BoE will continue to hike interest rates and increased risk sentiment boosted pound.
• The pound was trading 0.26% higher at 1.9551 to the Australian dollar at 18.23 GMT.
• GBP/ AUD trades near 5DMA ,consolidation likely to continue while market seeks fresh factors.
• From a technical viewpoint, RSI is strongly bullish at 51, daily momentum studies, 5, 10 and 21 daily MAs all climb.
• Immediate resistance is located at 1.9559(5DMA), any close above will push the pair towards 1.9637(Aug 31st high) .
• Immediate support is seen at 1.9480 (38.2%fib) and break below could take the pair towards 1.9371(Aug 10th low).
Recommendation: Good to by around 1.9520, with stop loss of 1.9430 and target price of 1.9640
