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FxWirePro: EUR/AUD losses momentum, but outlook is bullish

• EUR/AUD retreated from daily high on Friday  as Indecision gripped as market seeked fresh factors for further direction.

• EUR/AUD traded as high as 1.6794 before retreating slightly to trade at 1.6738.

• A rally towards 1.6900  level is possible should EUR/AUD bulls overcome resistance at 23.6%fib. 

• Technical signals are bullish as RSI is at 54, daily momentum studies  5, 9 and 14 DMAs are trending north. 

• Immediate resistance is located at 1.6801 (23.6%fib ), any close above will push the pair towards 1.6845 ( Nov 14th high).

• Strong support is seen at 1.6731 (5DMA) and break below could take the pair towards 1.6692(38.2%fib).

Recommendation: Good to buy on dips around 1.6730, with stop loss of 1.6640 and target price of 1.6850
 

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