EUR/AUD price action re-enters daily cloud, but trend is definitely lower.
- Strong resistance is seen by channel top at 1.5095. The pair has been trending lower with the falling channel, with upside being restricted by channel top.
- RSI is also converging with the drop in prices, while Stochs are in a neutral territory.
- The pair has been stuck in a range between 1.5343-1.4863 since its bounce from channel base (Dec 3rd).
- We notice downside capped by daily tenkan at 1.4845, while a decisive break above channel top could see gains to 1.54 levels.
Recommendation: Good to sell EUR/AUD rallies around 1.5060, SL: 1.5150, TP: 1.49
Resistance Levels:
R1: 1.5092 (Session highs Jan 5th)
R2: 1.5095 (Channel top)
R3: 1.5154 (Dec 23 high)
Support Levels:
S1: 1.5023 (cloud base)
S2: 1.4992 (Session low Jan 5th)
S3: 1.4954 (Dec 10 lows)
