• EUR/AUD declined on Friday after survey showed euro zone economy is likely contract this quarter and won't return to growth anytime soon .
• HCOB's flash euro zone Composite Purchasing Managers' Index (PMI), compiled by S&P Global rose to 47.1 in September from August's 33-month low of 46.7.
•The pair is approaching 23.6%fib,a daily close below will accelerate towards 1.6400 level in the short term.
• From a technical viewpoint, the moving averages are pointing downwards, while the RSI is bearish at 40.
• Immediate resistance is located at 1.6571(38.2%fib), any close above will push the pair towards 1.6620 ( 5DMA).
• Strong support is seen at 1.6456 (23.6%fib) and break below could take the pair towards 1.6433 (Lower BB).
Recommendation: Good to sell around 1.6530, with stop loss of 1.6640 and target price of 1.6400.
