FxWirePro: EUR/AUD attracts selling interest, vulnerable to more downside

• EUR/AUD declined on Thursday as euro attracted sellers after mixed comments from European Central Bank President Christine Lagarde.

• The European Central Bank left its benchmark interest rate at a record high of 4%, noting that underlying inflation had continued to falter.

• Christine Lagarde said it was  premature to discuss rate cuts  for the euro zone economy, but noted that the risks to economic growth remain  tilted to the downside.

• Technical lean bearish, RSI is turning  lower, momentum studies, 5, and 9 DMAs falling southwards. 

•  Immediate resistance is located at 1.6564 ( 38.2% fib), any close above will push the pair towards 1.6629 (Jan 17th high)

• Strong  support is seen at 1.6463 (50% fib) and break below could take the pair towards 1.6377 (61.8% fib).

  Recommendation: Good to sell   around 1.6500, with stop loss of 1.6650and target price of 1.6410