FxWirePro: EUR/AUD drifts lower ,could be on verge of bigger drop

• EUR/AUD dipped    on Monday  as gains in gold, silver, stocks & oil   supported  Australian dollar against euro.

• U.S. crude rose 3.37% to $98.64 a barrel, while Brent climbed 3.38% to $104.71 after Trump rejected the Iran offer, heightening supply concerns as the Strait of Hormuz remained largely disrupted..

• Energy-dependent ⁠Europe remains vulnerable, with markets still trading about 4% below pre-war levels and lagging global peers that have rebounded on artificial intelligence-driven optimism..

• Martin Kocher, ​a governing council member of the European Central Bank, warned that the ​ECB would need ⁠to adjust interest rates soon if the inflationary outlook did not significantly improve.

•Money markets expect two or more rate hikes from the ECB this year, with the first one expected as early as June.

• Strong  resistance is located at 1.6281(38.2%fib), any close above will push the pair towards 1.6332(SMA 20)

• Immediate support is seen at 1.6189(Lower BB) and break below could take the pair towards 1.6150(23.6%fib).

  Recommendation: Good to sell   around 1.6260, with stop loss of 1.6320 and target price of 1.6190