• EUR/AUD recovered some ground on Friday as profit taking on shorts and signs of a global economic recovery from the coronavirus pandemic supported euro.
• Oversold conditions have eased after recent consolidation. Overnight dips stalled short of 1.5432 (23.6%fib) .
• Despite the strength of the recovery the pair trend is likely to turn lower again.
• Immediate resistance is located at 1.5497(Ichimoku cloud base), any close above will push the pair towards 1.5597 (38.2%fib).
• Immediate support is seen at 1.5432 (23.6%fib) and break below could take the pair towards 1.5400 (Psychological level).
Recommendation: Good to sell around 1.5500, with stop loss of 1.5600 and target price of 1.5430
