• EUR/AUD recovered some ground on Friday, as the pair was aided by profit-taking on shorts.
• The pair is currently approaching resistance at 1.7565 (38.2% fib). Failure to get above 23.6% fib cements strong bearish bias.
• Technical signals are bearish as RSI is at 37, daily momentum studies 5, 9 and 10 DMAs are trending down.
• On the upside, immediate resistance is located at 1.6987 ( 23.6% fib), any close above will push the pair towards 1.7079 (5 DMA)
• On the downside, support is seen at 1.6870 (Daily low ) and break below could take the pair towards 1.6779 (100 DMA).
Recommendation: Recommendation: Good to sell around 1.6770, with stop loss of 1.7080 and target price of 1.6500.
