• EUR/AUD initially gained but gave some ground as fears over China's sluggish economic recovery and concerns that Fed may still raise interest rates kept investors cautious.
• At GMT 19:13, the pair was trading up 0.26 percent at 1.9673 ,after reaching daily high 1.7069
• A close above 1.7015 resistance level, is likely to trigger a new bullish phase with potential for 1.7100.
• From a technical viewpoint, RSI is strongly bullish at 68, daily momentum studies, 5, 10 and 21 daily MAs all climb.
• Immediate resistance is located at 1.7015(23.6% fib), any close above will push the pair towards 1.7064(Daily high).
• Immediate support is seen at 1.6890(5DMA) and break below could take the pair towards 1.6822(38.2% fib).
Recommendation: Good to buy on dips around 1.6970, with stop loss of 1.6800 , and target price of 1.7050
