• GBP/AUD steadied on Friday as gains were driven by global optimism on trade policies and easy monetary policy.
• Markets have rallied in recent weeks, buoyed by easing Middle East tensions, renewed hopes for U.S.–China trade talks, and the prospect of U.S. interest rate cuts.
• Treasury Secretary Scott Bessent said that the U.S. and China have resolved their dispute over shipments of rare earth minerals and magnets to the United States ironing out issues that had stalled a deal reached in May which has further bolstered market sentiment.
•The deal comes amid ongoing efforts to resolve their prolonged tariff war, and is seen as a potential confidence-building step that could pave the way for broader trade negotiations in the coming days.
• Technical signals are bullish as RSI is at 58, daily momentum studies 5,9 and 10 DMAs are trending up.
• Immediate resistance is located at 2.1025(Daily high), any close above will push the pair towards 2.1146(38.2% fib).
• Strong support is seen at 2.0893(14 EMA)and break below could take the pair towards 2.0855 (50% fib)
Recommendation: Good to buy around 2.1000 , with stop loss of 2.0920 and target price of 2.1100
