• EUR/AUD strengthened on Wednesday as investors positioned ahead of key Eurozone and US economic data.
• Euro Zone August HCOB PMIs, US weekly claims, August S&P Global PMIs are data risks for Thursday.
• The pair is currently approaching resistance at 23.6%fib. A break and daily close above will accelerate further gains towards 1.6600 level.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 51 bullish, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.6563(23.6%fib), any close above will push the pair towards 1.6641(July 25th high).
• Strong support is seen at 1.6456 (50%fib) and break below could take the pair towards 1.6342 (61.8%fib).
Recommendation: Good to buy around 1.6520 with stop loss of 1.6460 and target price of 1.6580
