• GBP /AUD strengthened on Friday after upbeat retail sales data kept investors bullish about the possibilities for the United Kingdom's economic recovery.
• Retail sales rose in April, with sales volumes hopping by 9.2% month-on-month – double the normal figure
• The pair hit daily high at 1.8327 and was last trading at 1.8300 at (GMT 20:33).
• The pairs rise above the 5DMA has reinforced the growing bullish strength, putting focus on resistance at 1.8334
• Immediate resistance is located at 1.8336 (23.6% fib), any close above will push the pair towards 1.8388 (Higher BB).
• Immediate support is seen at 1.8238(5DMA) and break below could take the pair towards 1.8220 (38.2%fib).
Recommendation: Good to buy on dips around 1.8270, with stop loss of 1.8180 and target price of 1.8380.
