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FxWirePro:GBP/AUD uptrend looks tired, but continues to hold

• GBP/AUD strengthened on Thursday as Australian dollar weakened as the Australia racked up biggest daily rise in Covid-19 infections.

• The rise in Delta variant cases across the Australia is weighing on hopes the economy recovery

• At GMT 22:18, the pair was trading 0.65% higher at 1.9078, highest since 20th May 2020.

• Any downside correction is likely to be temporary as barrier at 1.8992 (5DMA) is set to restricting lower move.

• Technical signals are bullish as RSI is at 66, daily momentum studies  5 DMA, 9 EMA are trending up. 

• Immediate resistance is located at 1.9093 (Higher BB ), any close above will push the pair towards 1.9128 (23.6%fib).

• Strong support is seen at 1.9027 (38.2%fib) and break below could take the pair towards 1.8992 (5DMA).

Recommendation: Good to buy on dips around 1.9040 with stop loss of 1.8930 and target price of 1.9110.
 

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