• EUR/AUD rose past 1.8100 as declines in iron ore, copper, and equities weighed on the Australian dollar.
• Copper prices fell on Wednesday to a nearly two-week low as funds sold, with buyers and producers staying cautious ahead of Fed Chair Jerome Powell’s upcoming speech.
• Iron ore futures fell on Wednesday, weighed down by China’s mandated production cuts ahead of a military parade and U.S. steel import restrictions.
• A daily close above 38.2%fib will further improve the technical outlook, and open the possibility of a rally towards 1.8200 level.
• Technical signals are bullish as RSI is at 68, daily momentum studies 5,9,21 DMA are trending north.
• Immediate resistance is located at 1.8131(38.2%fib), any close above will push the pair towards 1.8305 (April 4th high).
• Strong support is seen at 1.8000 (Psychological level) and break below could take the pair towards 1.7906 (Lower BB).
Recommendation: Good to buy around 1.8100 with stop loss of 1.8000 and target price of 1.8200
