• EUR/AUD eased slightly on Monday as markets absorbed a heavy flow of headlines related to the Iran conflict
• President Trump warned Monday that Iran's energy infrastructure would be destroyed unless it opens the Strait of Hormuz, following Tehran's rejection of US peace proposals and missile attacks on Israel.
• The month-long U.S.-Israeli war against Iran has driven markets, but conflicting signals on ending the fighting have sparked investor fatigue.
• Data showed that inflation in Germany, the euro zone's largest economy, gathered pace in March due to surging energy prices, and economists even see further increases ahead.
• Europe remains highly exposed to energy price swings due to its reliance on imports through the Strait of Hormuz, a key route for a fifth of global oil now largely halted by the war.
• Strong resistance is located at 1.6820 (Higher BB), any close above will push the pair towards 1.6890 (38.2%fib)
• Immediate support is seen at 1.6676(50%fib) and break below could take the pair towards 1.6581(March 25th low).
Recommendation: Good to buy around 1.6700 with stop loss of 1.6640 and target price of 1.6760
