FxWirePro: EUR/AUD consolidating around 1.5885,bias is bullish

• EUR/AUD rose higher on Thursday  as the pair’s upward march was kicked off on  ECB rate expectations.

•The ECB last week eased the pace of its interest rate hikes but stressed that significant tightening remained ahead, ECB is set to hike by 50 bps in Feb and March.

•  EUR/AUD is up 0.50% on the day amid thin conditions. A rally towards 1.6000  is   possible if  EUR/AUD bulls overcome resistance at 1.5948( 23.6%fib).

• Technical signals are turning bullish as RSI is turning higher at 58, daily momentum studies  5, 9 and 10 DMAs are trending up. 

• Immediate resistance is located at 1.5948( 23.6%fib), any close above will push the pair towards 1.6000 ( Psychological level).

• Strong support is seen at 1.5777(38.2%  fib) and break below could take the pair towards 1.5729 (10DMA).

 Recommendation: Good to buy around 1.5870, with stop loss of 1.5770 and target price of 1.6000  .