FxWirePro: AUD/USD on track to test trendline support at 0.6855, upbeat Aussie PMI data fails to impress
FxWirePro: GBP/AUD uptrend looks tired, but continues to hold
• GBP/AUD initially dipped on Wednesday after data showed UK inflation hits 40-Yr high but recovered ground ahead of Australian jobs data.
• UK headline annual CPI came in at 9% in April, just below forecast but well above March's 7% and the BoE's 2% target.
• GBP/AUD remains bullish, only a break and daily close above 1.7649 (50% fib)will shift bias to the downside.
• Technical are bullish, daily RSI is up at 54, daily momentum studies 5, 9 and 10 DMAs are trending up.
• Immediate resistance is located at 1.7796 (38.2%fib ), any close above will push the pair towards 1.7884 (Higher BB).
• Strong support is seen at 1.7707 (5DMA) and break below could take the pair towards 1.7649 (50% fib).
Recommendation: Good to buy around 1.7710, with stop loss of 1.7600 and target price of 1.7800