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• GBP/AUD edged higher on Tuesday but gains were limited as traders exercised caution ahead upcoming UK and US economic data .
• Investors will closely monitor British GDP figures for July and U.S. inflation data this week to assess the direction of monetary policy in both the UK and the US.
• The US Consumer Price Index (CPI) for August is projected to have increased by 0.2% month-over-month, consistent with the previous month, according to a recent poll.
•A daily close fall 50%fib will further improve the technical outlook, and open the possibility of a drop towards 1.9650 level
• Immediate resistance is located at 1.9738(38.2%fib), any close above will push the pair towards 1.9810(Jul 31st high).
• Immediate support is seen at 1.9596 (50%fib) and break below could take the pair towards 1.9467(61.8%fib).
Recommendation: Be on sidelines
