FxWirePro- Currency Strength Index (4- Hour chart)- Currency pairs to watch (EURAUD and EURJPY) for the day)
FxWirePro: EUR/AUD big drop reinforces the bearish tech outlook, good to sell on rally
• EUR/AUD initial gained on Thursday but gave up ground as risk assets moved higher and remained buoyant in the day.
• Sellers in the pair emerged at the daily high 1.4949 and EUR/AUD drifted back to 1.4800 level
• Technical are bearish, daily RSI is turning negative at 53, daily momentum studies 5,8 and 11 DMAs are trending down.
• Immediate resistance is located at 1.4813(14DMA), any close above will push the pair towards 1.4843 (50%fib ).
• Immediate support is seen at 1.4769 (61.8 % fib) and break below could take the pair towards 1.4570 (Lower BB).
Recommendation: Good to sell around 1.4810, with stop loss of 1.4900 and target price of 1.4730