• EUR/AUD was little changed on Monday as traders awaited U.S. CPI data on Tuesday and the Fed and ECB meetings on Wednesday and Thursday.
• The ECB is priced to hike 25bp on Thursday and again in July, with a rate cut likely by April.
• EUR/AUD focus is on 23.6% fib fibo support, a break below will accelerate losses
• Technical signals are bearish as RSI is at 31, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.5980 ( 5 DMA), any close above will push the pair towards 1.6024 (38.2% fib)
• Support is seen at 1.5900 (23.6% fib ) and break below could take the pair towards 1.5872(Lower BB).
Recommendation: Good to sell around 1.5930 with stop loss of 1.6000 and target price of 1.5840
