• EUR/AUD declined on Tuesday as the threat of a far right government in France has pushed investors away from euro.
• For the first time in France's post-war history, the far right could win, opinion polls show, with a left-wing union seen winning the second-biggest group and President Emmanuel Macron's centrist alliance coming third.
• EUR/AUD has seen a 1.6126 -1.6247 range on June, chart points to bigger drop towards 1.6070 level
• Technical signals are bearish as RSI is at 35, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.6177(38.2% fib), any close above will push the pair towards 1.6237 (50% fib)
• Strong support is seen at 1.6113 (23.6% fib) and break below could take the pair towards 1.6089 (Lower BB).
Recommendation: Good to sell around 1.6130, with stop loss of 1.6250 and target price of 1.6030
