• EUR/AUD gained on Tuesday as euro was supported on the back of robust China data and U.S. stimulus hopes.
• EUR/AUD bulls confidence is running high, a test of the 1.6698 (38.2%fib) highly seems likely.
• From a technical viewpoint, RSI is strongly bullish at 54.33, daily momentum studies, 5, 10 and 11 daily MAs are pointing higher.
• Immediate resistance is located at 1.6376 (100 DMA), any close above will push the pair towards 1.6449 (38.2%fib).
• Immediate support is seen at 1.6223 (5DMA) and break below could take the pair towards 1.6113 (23.6%fib).
Recommendation: Good to buy on dips around 1.6300, with stop loss of 1.6200 and target price of 1.6420.
