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FxWirePro:EUR/AUD consolidating around 1.5600, bias is bullish

• EUR/AUD rally extended towards 1.6700 on Thursday after German inflation data came in higher than expected, strengthening euro.

• Germany’s annual consumer price inflation accelerated to 2.1% in April, exceeding market expectations and advancing further above the ECB’s target of close to but below 2%.

• EUR/AUD uptrend is poised to accelerate ,likely target for the current trend is 1.5660 (higher BB).

• From a technical viewpoint, RSI  is bullish at 54, daily momentum studies, 5, 10 and 11 daily  trending up.

• Immediate resistance is located at 1.5620 (38.2%fib), any close above will push the pair towards 1.5660 (Higher BB).

• Immediate support is seen at 1.5549 (50% fib) and break below could take the pair towards 1.5506(30 DMA).

Recommendation: Good to buy on dips around 1.5590, with stop loss of 1.5500 and target price of 1.5660.

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