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FxWirePro: GBP/AUD beginning to trend higher but hurdles ahead

• GBP/AUD gained some upward traction on Monday as weaker oil prices and remarks from RBA Governor Michele Bullock weighed on Australian dollar.

• Oil prices slipped   pressured by concerns over global oversupply, which outweighed ongoing geopolitical tensions in Russia and the Middle East.

• RBA Governor Michele Bullock said Monday that Australia’s economy remains resilient, with slowing inflation and a strong labor market giving the central bank room to ease policy further if needed.

•  A daily close above 38.2%fib will further improve the technical outlook, and open the possibility of a rally towards 2.0600 level    
 
• Immediate resistance is located at 2.0530 (38.2%fib ), any close above will push the pair towards 2.0588 Sep 18th high).

• Strong support is seen at 2.0378(23.6%fib ), and break below could take the pair towards 2.0320 (Lower BB).

Recommendation: Good to buy  around 2.0470 with stop loss of 2.0400  and target price of 2.0600
 

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