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FxWirePro: EUR/AUD set for increasing upside potential, 1.6000 beckons

• EUR/AUD rose on Thursday as Australian dollar weakened on worries over surging COVID-19 outbreaks involving the Delta variant.

• Mood across financial markets has been dour as virus infections are surging globally.

• The pair hit daily high at 1.5948 and was last trading at 1.5940 at (GMT 15:42).

• From a technical viewpoint, RSI  is strongly bullish at 62, daily momentum studies, 5, 10 and 11 daily  MAs are pointing higher.

• Immediate resistance is located at 1.5948 (Daily high), any close above will push the pair towards 1.5989 (23.6%fib).

• Immediate support is seen at 1.5896(38.2%fib) and break below could take the pair towards 1.5863 (5DMA).

Recommendation: Good to buy on dips around 1.5920, with stop loss of 1.5860 and target price of 1.6000.

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