• EUR/AUD surged on Thursday as lower copper, oil and softer-than-expected Australian inflation data weighed on Australian dollar.
• Data on Wednesday showed second-quarter core inflation slowed to its weakest pace since early 2022, leading investors to lower the probability of a rate hike at the RBA's August 6 meeting.
• Copper prices retreated on Thursday on worse than expected factory data in top metals consumer China and rising inventories that highlighted excess supply.
• The euro was last trading 0.32% stronger against the Aussie dollar at 1.6602
• Immediate resistance is located at 1.6633(23.6% fib), any close above will push the pair towards 1.6699(Higher BB).
• Strong support is seen at 1.6508(38.2% fib) and break below could take the pair towards 1.6413(50% fib).
Recommendation: Good to buy around 1.6580, with stop loss of 1.6500 and target price of 1.6660
