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FxWirePro:EUR/AUD attracts selling interest, vulnerable to more downside

• EUR/AUD declined on Thursday  as Australian dollar was boosted by gains in iron ore and equities.

• Australian economic data continues to exhibit weakness, the prevailing market dynamics are wielding greater influence in setting the course.

• EUR/AUD is likely to maintain its downward move as long as remains below 1.6482 (5DMA).

 • From a technical viewpoint, the moving averages are pointing downwards, while the RSI  is  strongly  bearish at 38.

• Immediate resistance is located at 1.6482 (5DMA), any close above will push the pair towards 1.6561(38.2%fib).

• Strong support is seen at 1.6425 (23.6%fib) and break below could take the pair towards 1.6379(Lower BB).

Recommendation: Good to sell around 1.6450, with stop loss of 1.6550 and target price of 1.6390

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