• GBP/AUD initially gained but on Monday but gave up ground on cautious market mood .
• There is no UK data today, but Tuesday will be busy with employment and PMI’s.
• A daily close above 23.6%fib will further improve the technical outlook, and open the possibility of a rally towards 1.9400 level.
• Technical signals are bullish as RSI is at 54, daily momentum studies 5,9,21 DMA are trending north.
• Immediate resistance is located at 1.9332 (23.6%fib), any close above will push the pair towards 1.9412 (Aug 4th High).
• Strong support is seen at 1.9221(9DMA) and break below could take the pair towards 1.9176(38.2%fib).
Recommendation: Good to buy around 1.9270 with stop loss of 1.9200 and target price of 1.9340
