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FxWirePro:GBP/AUD steadies above 1.8900, good to buy on dips

• GBP /AUD initially dipped   on Tuesday but recovered  some ground  following  Russia-Ukraine de-escalation news.

• Any retreat in tensions will refocus traders on rates, supporting GBP /AUD  higher since the BoE is likely to keep pace with the Fed in tightening. 

• The pair hit daily high at 1.9044  and was last trading at 1.8935.

• Technical signals are bullish as RSI is at 51, daily momentum studies  14,21  & 30 DMAs track north.

• Immediate resistance is located at 1.8962 (5DMA), any close above will push the pair towards 1.9056 (23.6% fib).

• Immediate support is seen at 1.8880(38.2%fib) and break below could take the pair towards 1.8789 (Lower BB).

Recommendation: Good to buy on dips around 1.8920, with stop loss of 1.8750 and target price of 1.9050.
 

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