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FxWirePro: GBP/AUD holds above 1.7700, but upside is limited

• GBP/AUD gained on Monday as GBP benefited from  weaker Australian dollar, but gains were limited on more post-Brexit tensions and  persistent economic growth worries in UK.

• Traders were also watching for further developments around post-Brexit arrangements, which could pose risks for sterling.

• Technicals are favouring bullish sentiment as RSI is at 59 and the pair is trading above5,9 & 11-DMAs. 

• Immediate resistance is located at 1.7778 (38.2%fib ), any close above will push the pair towards 1.7852 (Higher BB).

• Strong support is seen at 1.7691(5DMA) and break below could take the pair towards 1.7639(50%fib).

Recommendation: Good to buy   around 1.7710, with stop loss of 1.7610 and target price of 1.7800
 

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