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FxWirePro: EUR/AUD extends drop, faces 38.2%fib support

• EUR/AUD declined on Wednesday as  uptrend in copper prices, small bounce in iron ore prices and upbeat Chinese economic data boosted  Australian dollar .

• The Caixin/S&P Global services purchasing managers' index (PMI) rose slightly to 52.7 from 52.5 in February, marking the 15th consecutive month above the 50-mark threshold.

• At GMT 17:42, the pair was trading down 0.15 percent  at 1.6492 after reaching daily high at 1.6565.

 • From a technical viewpoint, the moving averages are pointing downwards, while the RSI  is   bearish at 43.

• Immediate resistance is located at 1.6540( 9EMA), any close above will push the pair towards 1.6572 ( 23.6%fib).

• Strong support is seen at 1.6493 (38.2%fib) and break below could take the pair towards 1.6428 (50%fib).

Recommendation: Good to sell around 1.6500, with stop loss of 1.6650 and target price of 1.6410

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