• EUR/AUD rose higher on Friday as euro was supported against Australian dollar by hawkish ECB expectations as market prices in end of Fed hikes.
• European Central Bank policymakers have been backing more interest rate increases.
• EUR/AUD bulls confidence is running high, a rise towards 1.6480 level is likely.
• From a technical viewpoint, RSI is strongly bullish at 56, daily momentum studies, 5, 10 and 21 daily MAs all climb.
• Immediate resistance is located at 1.6449 (23.6%fib), any close above will push the pair towards 1.6489 (Higher BB).
• Immediate support is seen at 1.6372 (5DMA) and break below could take the pair towards 1.6254 (38.2%fib).
Recommendation: Good to buy on dips around 1.6400, with stop loss of 1.6280 and target price of 1.6510.
