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• EUR/AUD extended rally on Monday as falling copper, iron ore prices on weak China sentiment aggravate Australian dollar drop.
• The euro jumped 0.20% at 1.6286 against Australian dollar , recovering from day low 1.6233.
• Considering the broader perspective, additional gains seem probable if 23.6% fib resistence is decisively surpassed.
• Immediate resistance is located at 1.6286 (Daily high), any close above will push the pair towards 1.6311 (23.6% fib).
• Immediate support is seen at 1.6250 (38.2% fib) and break below could take the pair towards 1.6202 (50% fib).
Recommendation: Good to buy on dips around 1.6260, with stop loss of 1.6180 and target price of 1.6320
