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FxWirePro:GBP/AUD sustains gains as uptrend remains strong

• GBP/ AUD strengthened on Wednesday as Australian dollar weakened in wake of  softer than expected CPI data.

•Australian data showed annual growth in the consumer price index (CPI) slowed to 6.8% in February, from 7.4% the month before and under market forecasts of 7.1%.

• A rally towards 1.8550 is   possible if  GBP/ AUD bulls overcome resistance at 23.6%fib.

• Technical signals show the pair could gain more ground in the short-term as RSI is at 71,while moving averages and MACD are trending higher.

• Immediate resistance is located at 1.8506( 23.6%fib), any close above will push the pair towards 1.8582 (Higher BB).

• Immediate support is seen at 1.8412 (5DMA) and break below could take the pair towards 1.8310(38.2%fib).

Recommendation: Good to buy around 1.8460, with stop loss of 1.8340 and target price of 1.8550

 

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