FxWirePro: EUR/AUD hovers around 50-DMA at 1.4729, close above could see further upside

• EUR/AUD has held above 38.2% Fib support at 1.4615, weakness only on break below.
   
• Daily ichi cloud also offers strong support on the downside.
   
• The pair is extending rebound for 2nd consecutive day, intraday bias neutral.
   
• Price action hovering around 50-DMA at 1.4730, close above could invalidate bearish bias.
   
• We see bearish divergence from price action on RSI and Stochs on the daily chart.
   
• MACD shows continuation of trend lower. Next bear target on break below 38.2% Fib lies at 200-DMA 1.4377.
   
• On close above 50-DMA, pair could then rebound till 20-DMA at 1.4933.

Support levels - 1.4615 (38.2% Fib), 1.4573 (cloud top), 1.4443 (May 2 low), 1.4377 (200-DMA)

Resistance levels - 1.4702 (5-DMA), 1.4718 (50-DMA), 1.4849 (23.6% Fib), 1.4919 (20-DMA)

Call update: Our previous call (http://www.econotimes.com/FxWirePro-EUR-AUD-breaks-below-50-DMA-eyes-200-DMA-at-14377-stay-short-764501) has been stopped out.

Recommendation: Wait for clear directional bias.

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at 68.1476 (Bearish), while Hourly AUD Spot Index was at 42.837 (Neutral) at 1040 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.