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• EUR/AUD rose on Tuesday as upbeat German Ifo data boosted euro across the board.
• German business morale brightened to hit a two-year high in May as COVID-19 curbs were eased and infections fell.
• EUR/AUD bulls confidence is running high, further gains are likely due to influences from the Fed's inflation rhetoric and technicals.
• From a technical viewpoint, RSI is strongly bullish at 67, daily momentum studies, 5, 10 and 11 daily MAs are pointing higher.
• Immediate resistance is located at 1.5800 (Higher BB), any close above will push the pair towards 1.5847 (23.6%%fib).
• Immediate support is seen at 1.5570 (5DMA) and break below could take the pair towards 1.5728 (38.2%fib).
Recommendation: Good to buy on dips around 1.5750, with stop loss of 1.5650 and target price of 1.5850.
