• EUR/AUD gained on Monday as euro was supported on the back of better-than-expected China economic data and U.S. stimulus hopes.
• EUR/AUD bulls confidence is running high, a test of the 1.6698 (23.6%fib) highly seem s likely.
• From a technical viewpoint, RSI is strongly bullish at 65.75, daily momentum studies, 5, 10 and 11 daily MAs are pointing higher.
• Immediate resistance is located at 1.6652 (Higher BB), any close above will push the pair towards 1.6698 (23.6%fib).
• Immediate support is seen at 1.6566 (38.2% fib) and break below could take the pair towards 1.6470(50%fib).
Recommendation: Good to buy on dips around 1.6600, with stop loss of 1.6460 and target price of 1.6750.
