• EUR/AUD remained steady on Wednesday following data that showed Euro zone business activity grew in August.
• HCOB's composite Purchasing Managers' Index for the region registered at 51.0, slightly below the preliminary estimate of 51.2.
• Traders are now looking forward to Australia's second-quarter GDP data on Wednesday for new insights into the future direction of monetary policy.
• Technical signals are bullish as RSI is bullish at 51, daily momentum studies 5, 9 and 1 DMAs are trending up
• Immediate resistance is located at 1.6513 (38.2%fib), any close above will push the pair towards 1.6600(Psychological level)
• Support is seen at 1.6418(38.2 %fib ) and break below could take the pair towards 1.6335(50 %fib).
Recommendation: Good to buy around 1.6480 , with stop loss of 1.6400 and target price of 1.6560
