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• EUR/AUD initially dipped on Friday but recovered most of the ground as euro was supported on back of positive Euro zone GDP data .
• The euro zone economy shrank less than expected in the first three months of the year, preliminary data showed on Friday, while headline inflation picked up as expected on a surge in energy prices.
• EUR/AUD bulls confidence is running high, a test of the 1.5696 (Higher BB) highly seem s likely.
• From a technical viewpoint, RSI is strongly bullish at 55, daily momentum studies, 5, 9 and 11 daily MAs are pointing higher.
• Immediate resistance is located at 1.5633 (38.2%fib), any close above will push the pair towards 1.5696 (Higher BB).
• Immediate support is seen at 1.5551 (11DMA) and break below could take the pair towards 1.5467 (23.6%fib).
Recommendation: Good to buy on dips around 1.5590, with stop loss of 1.5510 and target price of 1.5680
