FxWirePro: EUR/AUD falls below 1.7700 level, bears keep the advantage

• EUR/AUD extended fall  on Wednesday as  political uncertainty in France continued pressure  the pair

• President Emmanuel Macron on Tuesday appointed Lecornu as his fifth prime minister in two years, choosing a loyalist expected to maintain his pro-business agenda.

• France’s new PM Sebastien Lecornu pledged budget reforms and new policies Wednesday as he took office amid mass anti-government protests.

• The ECB  policy decision is due on Thursday, with rates expected to remain unchanged, while attention shifts to key U.S. inflation data.

• Technicals are favouring bearish sentiment as RSI is at 31 and the pair is trading below   5,10 & 11-DMAs. 

• Immediate resistance is located at 1.7741 (38.2%fib), any close above will push the pair towards 1.7785(Dailyhigh).

•  Strong support is seen at 1.7621 (Lower BB) and break below could take the pair towards 1.7510(23.6%fib).

Recommendation: Good to sell on dips around 1.7700, with stop loss of 1.7780 and target price of 1.7650