• EUR/AUD dipped on Monday as improved risk sentiment boosted Australian dollar.
• Sentiment improved overnight after Axios reported that Iran had presented a new proposal to the U.S. via Pakistani mediators to reopen the Strait of Hormuz and end the war, while deferring nuclear talks to a later stage.
• Markets will pay close attention to policy meetings at the European Central Bank and the Bank of England this week for any signs they could hike rates to curb price pressures.
• German consumer sentiment was at a three-year low, weighed by higher energy prices and rising inflation, a survey showed.
• Immediate resistance is located at 1.6384(38.2%fib), any close above will push the pair towards 1.6503 (SMA 20)
• Support is seen at 1.6246(Lower BB) and break below could take the pair towards 1.6121(23.6%fib)..
Recommendation: Good to sell around 1.6320, with stop loss of 1.6400 and target price of 1.6250
