• EUR/AUD initially gained on Friday but gave up ground after a failed meeting between Zelenskiy and Trump, dimmed hopes for a quick peace deal in the Russia-Ukraine war.
• Trump and Zelenskiy exchanged sharp words in a meeting meant to persuade the U.S. not to side with Putin, who invaded Ukraine three years ago.
• On the data front, Euro zone inflation prospects improved while growth remained anaemic, solidifying the case for further cuts from the European Central Bank, which is widely expected to cut rates by at least 25 basis points next week.
• Technical are bullish, daily RSI is positive at 63, daily momentum studies 11 and 14 DMAs are trending up.
• Immediate resistance is located at 1.6723 (38.2%fib), any close above will push the pair towards 1.6852 (23.6%fib)
• Support is seen at 1.6667 (Daily low ) and break below could take the pair towards 1.6617(50% fib).
Recommendation: Good to buy around 1.6650 with stop loss of 1.6600 and target price of 1.6720
