• GBP/ AUD strengthened on Monday as the improving outlook for banks spurred and upbeat UK CBI data boosted sterling.
• A rally towards 1.8550 is possible if GBP/ AUD bulls overcome resistance at 23.6%fib.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 75,while moving averages and MACD are trending higher.
• Immediate resistance is located at 1.8482( 23.6%fib), any close above will push the pair towards 1.8554 (Higher BB).
• Immediate support is seen at 1.8370 (5DMA) and break below could take the pair towards 1.8266(38.2%fib).
Recommendation: Good to buy around 1.8460, with stop loss of 1.8340 and target price of 1.8550
