• EUR/AUD dipped on Tuesday as concern about the impact coronavirus will have on the eurozone economy weighed on euro.
• At GMT 17:20, the pair was trading 0.80% lower at 1.7070, after finding support at 1.6999 (23.6% fib).
• Technical signals are bearish as RSI is heading down at 36, daily momentum studies 5, 9 and 11 DMAs are trending down.
• On the upside, Immediate resistance is located at 1.7205 (5 DMA), any close above will push the pair towards 1.7472 (9 DMA).
• On the downside, support is seen at 1.6999 (23.6% fib) and break below could take the pair towards 1.6717 (50 DMA).
Recommendation: Good to sell on rallies around 1.7200, with stop loss of 1.7600 and target price of 1.6700.
