GBP/AUD chart on Trading View used for analysis
- Pound supported higher by upbeat UK labour market data, GBP/AUD trades 0.20% higher at the time of writing.
- The Office for National Statistics (ONS) showed on Tuesday, the UK’s average weekly earnings, excluding bonuses beat expectations, arriving at 2.9% 3m y/y versus 2.7% last and 2.8% expected.
- UK's official jobless rate steadied at 4.0% in July, while the claimant count change showed a smaller-than-expected increase.
- Renewed hopes for a passable Brexit deal surface as the EU begins to thaw their frigid positions, supporting the pound.
- The pair is testing stiff resistance at 200W SMA at 1.8348, break above will see further upside. Scope then for test of 1.90 (channel top).
Support levels - 1.8142 (5-DMA), 1.7894 (5W SMA), 1.7869 (21-EMA)
Resistance levels - 1.8348 (200W SMA), 1.84
Call update: Our previous call (https://www.econotimes.com/FxWirePro-GBP-AUD-finds-stiff-resistance-at-200W-SMA-at-18348-further-upside-only-on-break-above-1426244) has hit TP1/2.
Recommendation: Book partial profits at highs. Watch out for break above 200W SMA for further upside.
FxWirePro Currency Strength Index: FxWirePro's Hourly GBP Spot Index was at 78.6885 (Bullish), while Hourly AUD Spot Index was at -144.986 (Bearish) at 0945 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
