• EUR/AUD declined on Wednesday as riskier assets like Australian dollar rallied as Fed signals rate cuts for 2024.
• With the Fed meeting now concluded, investors’ attention will turn to European Central Bank and Bank of England meetings on Thursday.
• Bearish signals are increasing today after drop below 5DMA support. Pair is likely to fall towards 1.6200 level.
• Technical signals are bearish as RSI is at 38, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.6365(5DMA), any close above will push the pair towards 1.6389(38.2% fib).
• Support is seen at 1.6290 (23.6%fib) and break below could take the pair towards 1.6200 (Psychologicall level).
Recommendation: Good to sell on around 1.6320, with stop loss of 1.6460 and target price of 1.6220.
