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FxWirePro: EUR/AUD bulls need more gains to zero in on key fibo resistance

• EUR/AUD  strengthened on Tuesday  as Australian dollar weakened against euro  after RBA held base rate as expected

• Markets had fully expected the Reserve Bank of Australia (RBA) to hold rates at 4.1% for a third month at its September meeting.

• EUR/AUD reaches 1.6895 after extending north from 1.6700 (Daily low)  , EUR/AUD bulls need to close above 38.2%fib in order to keep the bias on gains.

• Technicals  highlight upside risks. The 5, 9 and 11  day moving averages lend support, daily RSI is bullish at 55. 

• Immediate resistance is located at 1.6832 (38.2%fib), any close above will push the pair towards 1.6895(Daily high)

• Immediate support is seen at 1.6757 (5DMA ) and break below could take the pair towards 1.6688 (50%fib).

  Recommendation: Good to buy around 1.6780, with stop loss of 1.6700 and target price of 1.6880

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