FxWirePro: EUR/AUD range bound short term, primary trend still bullish

• EUR/AUD retreated on Tuesday as investors digested a slew of economic data that painted a mixed picture of the Eruozone’s economic health.

• Euro zone inflation accelerated in December, an unwelcome but anticipated blip that is unlikely to derail further interest rate cuts from the European Central Bank.

• Inflation in the 20 nations sharing the euro picked up to 2.4% last month from 2.2% in November, Eurostat said on Tuesday. 

• Germany, Europe's economic powerhouse, reported a bigger-than-expected rise in annual inflation for December.

•  Immediate resistance is located at 1.6664 ( 38.2%fib), any close above will push the pair towards 1.6803 (23.6%fib).

• Immediate support is seen at 1.6558(38.2%fib) and break below could take the pair towards 1.6444 (50%fib).

Recommendation: Good to sell   around 1.6580 with stop loss of 1.6520 and target price of 1.6700.