• GBP/ AUD strengthened on Friday as Australian dollar slipped lower as investors geared up for key RBA policy decisions.
• July 26 CPI will be pivotal for the RBA rate decision on August 1st.A rally towards 1.9150 is possible if GBP/ AUD bulls overcome resistance at 38.2%fib.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 54,while moving averages and MACD are trending higher.
• Immediate resistance is located at 1.9092( 38.2%fib), any close above will push the pair towards 1.9126 (9DMA).
• Immediate support is seen at 1.8980 (50%fib) and break below could take the pair towards 1.88922(Lower BB).
Recommendation: Good to buy around 1.9050, with stop loss of 1.8900 and target price of 1.9120
