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FxWirePro: EUR/AUD positions for another climb, eyes 1.6800 level

• EUR/AUD  strengthened on Monday  as risk sentiment improved on hopes China's policy stimulus might stabilise the economy

• China stepped up measures to boost the country's faltering economy, with Beijing planning further action including relaxing home-purchase restrictions.

• A daily close above 5DMA will further improve the technical outlook, and open the possibility of a rally towards 1.6780 level.

• Technicals   highlight upside risks. The 14- and 21-day moving averages lend support, daily RSI is bullish at 57. 

• Immediate resistance is located at 1.6737 ( 5DMA), any close above will push the pair towards 1.6779 (38.2%fib)

• Support is seen at 1.6644 (38.2% fib ) and break below could take the pair towards 1.6580(Lower BB).

  Recommendation: Good to buy around 1.6700, with stop loss of 1.6540 and target price of 1.6800

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