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• GBP /AUD strengthened on Monday as pound gained traction ahead of pivotal labor market data scheduled for Tuesday.
• According to economists surveyed, there is an anticipation that average weekly earnings will have risen by 5.5% during the three months leading up to March.
• It's the first of two labour market reports and two inflation releases before the BoE's June meeting.
• A daily close above 38.2%fib will further improve the technical outlook, and open the possibility of a rally towards 1.9100 level.
• Immediate resistance is located at 1.9010(38.2%fib), any close above will push the pair towards 1.9087(50% fib).
• Immediate support is seen at 1.8901 (23.6%fib) and break below could take the pair towards 1.8871 (Lower BB).
Recommendation: Good to buy on dips around 1.8980 with stop loss of 1.8900 and target price of 1.9080
