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GBP/AUD chart on Trading View used for analysis
- GBP/AUD spikes higher on the day supported by positive Brexit news and dismal Australia GDP.
- The pair is trading 1.12% higher on the at 1.7517, breaks above 5-DMA.
- Downside was snapped with a Doji formation on Monday's trade.
- We also evidence bullish divergence on RSI and Stochs which keeps scope for further upside.
- Next bull target lies at 23.6% Fib at 1.7567 ahead of 20-DMA at 1.7655. Break above 20-DMA could see test of 200-DMA.
- On the flipside, retrace below 5-DMA could see resumption of weakness.
Support levels - 1.7401 (5-DMA), 1.7235 (lower BB), 1.7208 (Dec 3rd low)
Resistance levels - 1.7567 (23.6% Fib), 1.7655 (20-DMA), 1.7789 (38.2% Fib)
For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
