• EUR/AUD declined on Wednesday as Australian dollar gained some ground ahead of Australian labour data .
• Australian Employment numbers for January will be released on Thursday. In December, 30K personnel were hired to replace the 65.1K layoffs, as expected. The unemployment rate is expected to rise to 4% from 3.9%.
• EUR/AUD chart has taken a turn for the worse after Wednesday 's large drop.Overall risk growing for a bigger drop to towards 1.6450 level
• Technical signals are bearish as RSI is heading down at 45, daily momentum studies 5, 9 and 11 DMAs are trending down.
• Immediate resistance is located at 1.6601 ( 50% fib), any close above will push the pair towards 1.6621(Higher BB)
• Support is seen at 1.6479(38.2%fib ) and break below could take the pair towards 1.6408(Lower BB).
Recommendation: Good to sell on rally around 1.6530, with stop loss of 1.6650 and target price of 1.6460
