• EUR/AUD declined on Wednesday as the Australian dollar gained strength against the euro following data that showed a slight increase in the Australian CPI for July.
• Data from the Australian Bureau of Statistics on Wednesday showed its monthly consumer price index (CPI) rose at an annual pace of 3.5% in July, above market forecasts of 3.4%.
• At GMT 17:57, the pair was trading down 0.30 percent at 1.6414.
• Technical signals are bearish as RSI has turned sharply lower, daily momentum studies 5, 9 and 1 DMAs are trending down.
• Immediate resistance is located at 1.6475 ( Daily high), any close above will push the pair towards 1.6529(50%fib)
• Support is seen at 1.6389 (38.2 %fib ) and break below could take the pair towards 1.6312(Lower BB).
Recommendation: Good to sell around 1.6430 , with stop loss of 1.6500and target price of 1.6350
