• GBP/ AUD strengthened on Thursday as global equity losses weighed on risk-sensitive Australian dollar .
• World equities fell to an 18-month-low, with markets dogged by fears high inflation would persist and force central banks to keep tightening monetary policy.
• The pair currently is approaching resistance at 1.8066( 38.2%fib). A break above 1.8066 would unmask 1.8100 level in the short term.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 55,while moving averages and MACD are trending higher.
• Immediate resistance is located at 1.7814( 38.2%fib), any close above will push the pair towards 1.7935 (Higher BB).
• Immediate support is seen at 1.7737 (5DMA) and break below could take the pair towards 1.7650(50%fib).
Recommendation: Good to buy around 1.7700, with stop loss of 1.7640 and target price of 1.7950
