- GBP/AUD is trading in an extremely narrow range, intraday bias remains neutral.
- The pair is consolidating break above daily Ichimoku cloud, scope for further upside.
- Strong UK labour market data giving the sterling an added boost. Technical indicators also support upside.
- The pair is extending gains after bouncing off 50-DMA support. We see resumption od downside only on break below.
- On the upside we see scope for test of 1.80 levels. Immediate resistance lies at 0.78 (78.6% Fib retrace of 0.79966 to 1.70980 fall).
Support levels - 1.76, 1.7512 (5-DMA), 1.7459 (50-DMA)
Resistance levels - 1.78 (78.6% Fib retrace of 0.79966 to 1.70980 fall), 1.7894 (88.6% Fib), 1.80 (Dec 8 high)
Recommendation: Good to go long on dips around 1.76/1.7620, SL: 1.75, TP: 1.78/ 1.79/ 1.80
FxWirePro Currency Strength Index: FxWirePro's Hourly GBP Spot Index was at 85.0501 (Bullish), while Hourly AUD Spot Index was at 62.4487 (Neutral) at 0600 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
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