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FxWirePro: EUR/AUD bulls undeterred, eyes 23.6%fib resistance

• EUR/AUD strengthened on Tuesday as Australian dollar attracted sellers after  RBA softened hawkish outlook.
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• Market responded to slight tweak to statement that is less hawkish, statement tweak suggested that  RBA is data dependent and not yet pencilling in on April hike.

• The pair currently is approaching resistance at 23.6%fib. A break above would unmask 1.6100 level in the short term.

• From a technical viewpoint, RSI  is strongly bullish at 71, daily momentum studies, 5, 10 and 11 daily  MAs are pointing higher.

• Immediate resistance is located at 1.6045(23.6%fib), any close above will push the pair towards 1.6091 (Higher BB).

• Immediate support is seen at 1.5962 (38.2%fib) and break below could take the pair towards 1.5888(50%fib).

Recommendation: Good to buy on dips around 1.6020 with stop loss of 1.5900  and target price of 1.6100


 

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