• EUR/AUD strengthened on Friday as the pair was aided by continued Australian dollary selloff that started on Thursday.
• Australian dollar is weighed down by Yuan weakness and lower commodities prices.
• Technical signals are mixed as RSI is at 51, daily momentum studies 9,11 and 14 DMAs are trending down.
• Immediate resistance is located at 1.6341(Daily high), any close above will push the pair towards 1.6429(23.6 % fib),
• Support is seen at 1.6246 (5DMA ) and break below could take the pair towards 1.6219 (38.2 % fib).
Recommendation: Good to to buy around 1.6320, with stop loss of 1.6200 and target price of 1.6390.
