FxWirePro: GBP/AUD rebounds, critical resistance lies ahead

• GBP/AUD  strengthened  on Friday as sterling continued to attracted buying on interest on expectation that the Bank of England would hold the rate steady at 5.25%.

• Slower and lower BoE rate path is likely to keep sterling  broadly bid  against Australian dollar.

• GBP/AUD  hit daily low at 1.9292, before bouncing towards1.9405. Resistance  at 1.9427 (38.2%fib)  is now threatened. 

• Technical signals are bullish as RSI at 54, moving averages are trending up. 

• Immediate resistance is located at 1.9427 ( 38.2%fib), any close above will push the pair towards 1.9524 ( Higher BB).

• Immediate support is seen at 1.9271(50%fib) and break below could take the pair towards 1.9208(Lower BB).

 Recommendation: Good buy  around 1.9400 with stop loss of 1.9230  and target price of 1.9480.