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FxWirePro:EUR/AUD falls below 1.4600, bears keep the advantage

• EUR/AUD declined on Thursday as a further reduction in gas flows from Russia weighed on the pair.

• The pair is approaching support at 1.4495 (23.6% fib), subsequent weak closings below will put further pressure on the pair. 

• A first reading of July inflation for the wider euro zone is due on Friday. Consumer price growth in the 19 countries sharing the euro was a record-high 8.6% year-on-year in June.

• Immediate resistance is located at 1.4598 ( 5DMA), any close above will push the pair towards 1.4661 (38.2% fib)

• Strong support is seen at 1.4495 (23.6% fib) and break below could take the pair towards 1.4399 (Lower BB).

Recommendation: Good to sell on rally around 1.4570, with stop loss of 1.4670 and target price of 1.4500.
 

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