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FxWirePro: GBP/AUD extends gains, faces 23.6%fib resistance

• GBP/ AUD rose sharply on Tuesday  after the Reserve Bank of Australia (RBA) surprised markets with a smaller-than-expected interest rate increase.

• Reserve Bank of Australia (RBA) raised its cash rate to a nine-year peak of 2.60%.

• The pair currently is approaching resistance at 1.7674( 23.6%fib). A break above 23.6%fib would unmask 1.7700level in the short term.

• Technical signals show the pair could gain more ground in the short-term as RSI is at 55,while moving averages and MACD are trending higher. 

• Immediate resistance is located at 1.7674( 23.6%fib), any close above will push the pair towards 1.7756 (Higher BB).

• Immediate support is seen at 1.7422 (38.2%fib) and break below could take the pair towards 1.7231 (50%fib).

Recommendation: Good to buy around 1.7600, with stop loss of 1.7500 and target price of 1.7700

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