• EUR/AUD declined on Tuesday as mounting pressures from rising inflation, energy insecurity and the threat of recession weighed on the pair.
• EUR/AUD initially rose but dipped after hitting daily high at 1.4945. A daily close below 1.4833 (38.2%fib) will accelerate further downside.
• Technical signals show the pair could lose more ground in the short-term as RSI is bearish, daily momentum studies 5 and 9,11 DMAs are trending up.
• Immediate resistance is located at 1.4908(5DMA), any close above will push the pair towards 1.5000(Psychological level).
• Strong support is seen 1.4833 (38.2%fib) and break below could take the pair towards 1.4774 (Lower BB)
Recommendation: Good to sell around 1.4870, with stop loss of 1.4960 and target price of 1.4800
