FxWirePro- Currency Strength Index (4- Hour chart)- Currency pairs to watch(USDCAD and CADJPY) for the day
FxWirePro:EUR/AUD uptrend stalled, progress needed soon to sustain
• EUR/AUD initially gained on Monday but it came off its highs as investors were cautious on Russia-Ukraine tensions and fears of Fed tightening.
• Fed meeting & Ukraine tensions remain key risks for investors. If the uncertain coronavirus outlook is unchanged, range trading is viable.
• Technical signals are bullish as RSI is at 56, momentum studies, 5, 10 & 21 DMAs are trending up.
• Immediate resistance is located at 1.5872 ( 23.6%fib), any close above will push the pair towards 1.5919 (Higher BB)
• Strong support is seen at 1.5799 (38.2 %fib ) and break below could take the pair towards 1.5770 (5DMA).
Recommendation: Good to buy on dips around 1.5840 with stop loss of 1.5750 and target price of 1.5910 .