• EUR/AUD strengthened on Wednesday as slide in iron ore and soft commodities prices added to AUD weakness against euro.
• The pair is currently approaching resistance at 1.5782 ( 38.2%fib). Resistance at 1.5782 is likely to cap further upside in the pair.
• Technical signals are bullish as RSI is turning up, daily momentum studies 5 and 9 DMAs are trending down.
• Immediate resistance is located at 1.5639 ( 50%fib), any close above will push the pair towards 1.5732 (61.8%fib)
• support is seen at 1.5527 (38.2%fib ) and break below could take the pair towards 1.5503 (5DMA).
Recommendation: Good to buy around 1.5570, with stop loss of 1.5480 and target price of 1.5850.
