• EUR/AUD declined on Friday as the pair attracted sellers after U.S. employment data indicated job growth slowed massively in August.
• Nonfarm payrolls increased by 235,000 in August, well short of the 728,000 forecast.
• The pair currently is approaching support at 1.5921 (23.6%fib ). A break under 1.5921 would unmask 1.6000 level in the short term.
• Technical signals are bearish as RSI is at 40, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.6002 ( 50DMA), any close above will push the pair towards 1.6045 (38.2%fib)
• Strong support is seen at 1.5921 (23.6%fib ) and break below could take the pair towards 1.5847(Lower BB).
Recommendation: Good to sell on rally around 1.5960, with stop loss of 1.6100 and target price of 1.5470.
