• EUR/AUD declined on Friday as investors stepped to the sidelines ahead ECB policy meetings next week.
• ECB is expected to continue to tighten monetary policy,traders see about a 98% chance of a 25-basis-point rate hike next week.
• EUR/AUD drops swiftly from 1.6110 to hit daily low at 1.5951. Break lower at 1.5918(23.6%fib) risks run towards 1.5850.
• Technical lean bearish, RSI is lower at 34 daily momentum studies 9, 11 and 14 DMA’s are trending down.
• Immediate resistance is located at 1.6056 (38.2%fib), any close above will push the pair towards 1.6100 (Daily high).
• Support is seen at 1.5918(23.6%fib) and break below could take the pair towards 1.5888 (Lower BB).
Recommendation: Good to sell around 1.5950, with stop loss of 1.6100 and target price of 1.5880
