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FxWirePro: EUR/AUD changes short term trend from neutral to bullish

• EUR/AUD strengthened on Thursday as lower commodity prices and continued lockdowns in major Australian States weighed on Antipodean currency.

• Australian economy has been undermined by the spread of the Delta variant, which  triggered a lockdown in the capital of Canberra on Thursday.

• EUR/AUD gains near 38.2%fib,consolidation likely to continue while market seeks fresh factors.

• From a technical viewpoint, RSI  is  bullish at 52, daily momentum studies, 5, 10 and 11 daily  MAs all climb.

• Immediate resistance is located at 1.6011 (21DMA), any close above will push the pair towards 1.6041 (38.2%fib).

• Immediate support is seen at 1.5902 (50% fib)and break below could take the pair towards 1.5870 (Lower BB).

Recommendation: Good to buy on dips around 1.5970, with stop loss of 1.5900 and target price of 1.6050.

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