• EUR/AUD declined on Monday as sketchy progress in fighting the coronavirus pandemic and differing Euro Zone economic fundamentals weighed on euro.
• The pair currently is approaching to test support at 1.5620 (23.6% fib ). A close below would set the stage for a run lower near 1.5551(Lower BB).
• Technical signals are bearish as RSI is at 39, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.5640( 5 DMA), any close above will push the pair towards 1.5795 (38.2%fib)
• Support is seen at 1.5620 (23.6% fib ) and break below could take the pair towards 1.5564 (Lower BB).
Recommendation: Good to sell around 1.5680, with stop loss of 1.5800 and target price of 1.5560.
