• GBP/ AUD initially dipped but recovered some ground on Tuesday after BoE Deputy Governor Jon Cunliffe said UK markets are much better prepared to manage shocks.
• A rally towards bigger resistance in the 1.8160( 23.6%fib)is possible should GBP/ AUD bulls overcome resistance at 1.7999 (5DMA) .
• Technical signals show the pair could gain more ground in the short-term as RSI is at 66,while moving averages and MACD are trending higher.
• Immediate resistance is located at 1.7999 (5DMA), any close above will push the pair towards 1.8160( 23.6%fib).
• Immediate support is seen at 1.7884 (38.2%fib). and break below could take the pair towards 1.7767(10DMA).
Recommendation: Good to buy around 1.7940, with stop loss of 1.7880 and target price of 1.8080
