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FxWirePro: EUR/AUD losses momentum but outlook is bullish

• EUR/ AUD initially dipped on Thursday but recovered some ground as investors positioned for higher U.S. interest rates and remained concerned about the health of European economy.

• Manufacturing sector in Germany, Europe's largest economy and a major exporter  contracted for a second month.

• EUR/ AUD  initially dipped but found buyers at 1.4620. A break and daily close above 38.2% fib will accelerate further gains.

• Technical signals are bullish as RSI is at 54, daily momentum studies  5, 9 and 11 DMAs are trending  up.

• Immediate resistance is located at 1.4692 (38.2% fib), any close above will push the pair towards 1.4785 (23.6% fib).

• Strong support is seen at 1.4611 (50% fib) and break below could take the pair towards 1.4532(61.8% fib )

Recommendation: Good to buy around 1.4640, with stop loss of 1.4560 and target price of 1.4710

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