FxWirePro: EUR/ AUD uptrend gains momentum, good to buy on dips
• EUR/ AUD rose sharply on Wednesday as softer Australia Q2 wage data and lower iron ore prices weighed on strongly on Australian dollar.
• Figures from the Australian Bureau of Statistics showed wage price index rose 0.7% in the June quarter. The data, however, missed forecasts of a 0.8% increase.
• At GMT 18:27, the pair was trading 1.30% higher at 1.4661, slightly lower from session high at 1.4705.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 50,while moving averages are trending higher.
• Immediate resistance is located at 1.4725( 38.2%fib), any close above will push the pair towards 1.4816 (23.6%fib).
• Immediate support is seen at 1.4651 (50%fib) and break below could take the pair towards 1.4578 (61.8%fib).
Recommendation: Good to buy around 1.4650, with stop loss of 1.4550 and target price of 1.4730
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