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FxWirePro:EUR/AUD closes below 11-day moving ,average favouring weakness

• EUR/AUD declined on Monday as conflict in the Middle East drove currency pair lower .

• Investors digested the latest news about the conflict between Israel and the Palestinian Islamist group Hamas.

• Pair traded in 1.6630/1.6483 range and was last trading down 50%  at 1.6485  in US afternoon.

• Technical signals show the pair could lose more ground as RSI is at 43 bearish, and 9, 11,21 DMA’s are trending south. 

• Immediate resistance is located at 1.6560 (5DMA), any close above will push the pair towards 1.6664 (38.2% fib).

• Immediate support is seen at 1.6454(23.6% fib) and break below could take the pair towards 1.6402 (Oct 2nd low).

Recommendation: Good to sell round 1.6500, with stop loss of 1.6700, and target price of 1.6400
 

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