• EUR/AUD rose higher on Monday as German business sentiment improved in April.
• German business morale rose in April, adding to positive signs as Europe's largest economy hopes to have dodged a winter recession, according to a survey.
• EUR/AUD bulls confidence is running high, a rise towards 1.6550 level is likely.
• From a technical viewpoint, RSI is strongly bullish at 64, daily momentum studies, 5, 10 and 21 daily MAs all climb.
• Immediate resistance is located at 1.6509 (23.6%fib), any close above will push the pair towards 1.6564 (Higher BB).
• Immediate support is seen at 1.6398 (5DMA) and break below could take the pair towards 1.6342 (38.2%fib).
Recommendation: Good to buy on dips around 1.6470 with stop loss of 1.6300 and target price of 1.6550
