• EUR/AUD declined on Tuesday as euro was weighed down against the aussie after data showed euro zone economy contracted more than expected .
•The European Union’s gross domestic product in the 19 countries sharing the euro fell by 0.7% quarter-on-quarter, more than the initial 0.6% estimate.
•EUR/AUD fell to 1.5429 close to the 38.2% fib. A break under 38.2% fib would unmask 1.5290 (23.6% fib) level in the short term.
• Technical signals are bearish as RSI is at 42, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Strong resistance is located at 1.5522 ( 50%fib), any close above will push the pair towards 1.5611 (61.8%fib)
• Immediate support is at 1.5413 (38.2% fib) and break below could take the pair towards 1.5287 (23.6%fib).
Recommendation: Good to sell around 1.5430 , with stop loss of 1.5520 and target price of 1.5350 .
