• EUR/AUD hit the highest point since Aug 7th 2019 on Wednesday and is attempting to breach resistance at 1.6626 ( Higher BB). A decisive break closure above could generate further gains.
• Any downside correction is likely to be temporary as barrier at 1.6432 (5DMA) is set to restricting lower move.
• The pair, already trading higher on the day, extended to hit high at 1.6604, a three week high, it was last up 0.77% on the day.
• Technical signals show RSI is at 70.05 oversold , daily momentum studies 9, 10 and 11 DMAs are trending upwards.
• Immediate support is seen at 1.6603 (23.6% fib) and break below could take the pair towards 1.6432 (5DMA).
Recommendation: Good to buy on dips around 1.6550, with stop loss of 1.6400 and target price of 1.6750.
