• EUR/AUD strengthened on Friday as lower commodity prices and soured risk sentiment weighed on Australian dollar.
• Oil prices fell more than 3% on Friday as fears of a global recession and weak oil demand, particularly in China, outweighed support for a big cut to OPEC+'s supply target.
• The pair is approaching 23.6%fib,a daily close below will accelerate towards 1.5700 in the short term.
• From a technical viewpoint, RSI is strongly bullish at 74, daily momentum studies, 5, 10 and 11 daily MAs are pointing higher.
• Immediate resistance is located at 1.5677(Higher BB), any close above will push the pair towards 1.5812(23.6%fib).
• Immediate support is seen at 1.5566(38.2%fib) and break below could take the pair towards 1.5406(50%fib).
Recommendation: Good to buy on dips around 1.5650, with stop loss of 1.5480 and target price of 1.5800.
