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FxWirePro: EUR/AUD gains some upside momentum but still bearish

• EUR/AUD recovered some ground on Tuesday   as investors prepared for U.S. inflation data and ECB meeting later in the week.

• EUR/AUD was generally is  in a holding pattern   before the European Central Bank meeting on Thursday and the release of US inflation data.

• The pair is currently approaching resistance at 1.5745 (38.2% fib). Resistance at 1.5745 is likely to cap further upside in the pair.

• Technical signals are mixed as RSI is at 55, daily momentum studies  5, 9 and 10 DMAs are trending down.

•   Immediate resistance is located at 1.5745 ( 38.2%fib), any close above will push the pair towards 1.5842 (June 4th high)

• Strong support is seen at 1.5705 (21 DMA ) and break below could take the pair towards 1.5662 (50%  fib).

 Recommendation: Good to sell on rally around 1.5740, with stop loss of 1.5860 and target price of 1.5680.

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