FxWirePro: EUR/AUD set for increasing upside potential, 1.5650 beckons

• EUR/AUD rally extended towards 1.5590 on Friday  as the European Central Bank's optimism on the economic outlook boosted euro.

• There were few surprises from the ECB at Thursday's meeting and the hawks remained quiet . But the central bank predicted a strong economic rebound in 2021,.

• EUR/AUD bulls   confidence is running high, a test of the  1.5654  (Higher BB) highly seems likely.

• From a technical viewpoint, RSI  is strongly bullish at 56, daily momentum studies, 5, 10 and 21 daily  MAs all climb.

• 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 1.5503 (21 DMA).

Recommendation: Good to buy on dips around 1.5590, with stop loss of 1.5500 and target price of 1.5650.