FxWirePro: EUR/AUD slides as hot Australian CPI lifts Aussie

• EUR/AUD  slipped lower  on Wednesday as  hot Australia January inflation figures boosted Australian dollar.

• Data from the Australian Bureau of Statistics showed Australia’s CPI rose 3.8% year-on-year in January on a seasonally adjusted basis, unchanged from December after an upward revision from 3.6%.

• On a seasonally adjusted basis, inflation rose 0.5% month-on-month. Trimmed mean inflation increased to 3.4% from 3.3% in the 12 months to December 2025, while the weighted mean held steady at 3.8%.

• Reserve Bank of Australia raised interest rates by 25 basis points to 3.85% earlier this month, following three cuts last year, as the economy approached capacity and the labour market remained tight.

•  Technical signals are bearish as RSI is heading down  at 29, daily momentum studies  5, 9 and 11 DMAs are trending down.

•  Immediate resistance is at 1.6683 (Daily high), with a close above potentially pushing the pair to 1.6779 (38.2%fib).

• Support is at 1.6580(23.6% fib), and a break below could push the pair towards 1.6479(Lower BB).

Recommendation: Good to sell around 1.6600, with stop loss of 1.6670 and target price of 1.6520