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FxWirePro: EUR/AUD looks set to drop further towards 38.2%fib support

•  EUR/AUD declined sharply on Thursday as   commodity linked Australian dollar gained against euro after fresh sanctions on Russia .

• Global oil prices rallied by over 5% on Thursday after U.S. President Donald Trump hit Russia's two biggest oil companies - Lukoil and Rosneft   with sanctions.

•  Spot gold   was up 1%    after falling to a near two-week low in the previous session.

• Gold prices have gained about 57% this year, driven by geopolitical tensions, economic uncertainty, expectations of rate cuts, and sustained central bank buying.

•  Technical signals are bearish as RSI is at 49, daily momentum studies  11 , 14 and 21 DMA are trending down.

•  Immediate resistance is located at 1.7916 (50% fib), any close above will push the pair towards 1.7974(Oct 20th high)

•  Support is seen at 1.7817 (SMA20) and break below could take the pair towards 1.7775(38.2%fib).

Recommendation: Good to sell around 1.7840, with stop loss of 1.7900 and target price of 1.7760
 

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