• EUR/AUD rose higher initially on Monday but gave up most of the ground as fears of U.S. recession mounted after weak economic data sparked a global sell-off.
•Friday's data showed a sharp slowdown in U.S. job growth, raising fears of a deterioration in the American labour market and a potential recession.
• EUR/ AUD approached to test resistance 1.5749 (23.6% fib) but retreated as bulls lost strength.
•A close below 1.6753(50% fib) puts at 61.8% support in focus and then 1.5600 level in focus.
• Immediate resistance is located at 1.6942(38.2% fib), any close above will push the pair towards 1.7163 (23.6% fib).
• Strong support is seen at 1.6753(50% fib) and break below could take the pair towards 1.6562(61.8% fib).
Recommendation: Good to sell around 1.6950, with stop loss of 1.7150 and target price of 1.6830
