FxWirePro: EUR/AUD extends weakness below 200-DMA, bias lower

EUR/AUD chart on Trading View used for analysis

• EUR/AUD trades in the narrow range, with session highs at 1.5830 and low at 1.5810.
   
• The pair is extending consolidation below 200-DMA, bias is bearish.
   
• Bounce off 200-DMA was capped at daily cloud which offers stiff resistance.
   
• Technical studies are biased lower. We see strong support at 55-W EMA at 1.5758.
   
• Break below 55-W EMA will confirm further bearishness. Scope for test of 1.5796 (110-W EMA).
   
• On the flipside, retrace above 200-DMA and break above cloud base could negate near-term bearishness.

Support levels - 1.5758 (55-W EMA), 1.5721 (Jan 31 low), 1.5673 (Dec 12 low)

Resistance levels - 1.5849 (200-DMA), 1.5872 (5-DMA), 1.59

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.