• EUR/AUD declined on Thursday as risk-on sentiment and gains in equity, copper , iron-ore added to Australian dollar buoyancy.
• Pair traded in 1.4782/1.4909 range and was last trading at 1.4781 in late US afternoon.
• EUR/AUD is now on course to register a close below the 1.4773 (38.2%fib ) level, chart points to bigger drop towards 1.4630.
• Technical signals are bearish as RSI is at 41, daily momentum studies 5,9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.4869( 5DMA), any close above will push the pair towards 1.4920 (50%fib)
• Strong support is seen at 1.4773 (38.2%fib ) and break below could take the pair towards 1.4686 (Apr 29th low).
Recommendation: Good to sell around 1.4800, with stop loss of 1.4900 and target price of 1.4720.
