FxWirePro: EUR/AUD bulls gain momentum heading into the weekend

• EUR/AUD rebounded sharply  on Thursday as  Australian dollar turned lower against euro  as risk sentiment turned sour.

• ECB policymakers reiterated that current policy remains appropriate and said they will not react to minor or short-term deviations from the 2% inflation target.

•  On the data  front, Eurozone retail sales unexpectedly slipped 0.1% in September, missing forecasts for a 0.2% rise, while annual growth matched expectations at 1.0%.

• Separate data showed German industrial production rose 1.3% in September, below expectations, as gains in autos and electronics were partly offset by weaker mechanical engineering output, the statistics office said Thursday.

•    Immediate resistance is located at 1.7925(38.2 % fib), any close above will push the pair towards 1.8000(Psychological level).

•    Support is seen at 1.7797(SMA 20) and break below could take the pair towards 1.7756 (50% fib).

Recommendation: Good to buy  around 1.7800, with stop loss of 1.7730 and target price of 1.8000