FxWirePro:EUR/ AUD uptrend gains momentum after ECB tweaks inflation target, good to buy on dips

• EUR/ AUD rose sharply on Thursday as euro was boosted across the board after the European Central Bank set a new inflation target   and claimed a role in fighting climate change.

• The central bank of the 19 countries that share the euro set its inflation target at 2% in the medium term, ditching a previous formulation of “below but close to 2%

• The pair currently is approaching resistance at 1.5918 ( 38.2%fib). A break above 1.5918 would unmask 1.5960 level in the short term.

• Technical signals show the pair could gain more ground in the short-term as RSI is at 62,while moving averages and MACD are trending higher.

• Immediate resistance is located at 1.5918 ( 38.2%fib), any close above will push the pair towards 1.5982(23.6%fib).

• Immediate support is seen at 1.5866 (50%fib) and break below could take the pair towards 1.5815(61.8%fib).

Recommendation: Good to buy around 1.5890, with stop loss of 1.5850 and target price of 1.5960