• EUR/AUD recovered some ground on Monday as investors to trim their bearish bets on euro.
• EUR/AUD fell as low as 1.5738 before buyers returned.EUR/AUD is moving higher into the US afternoon and is sitting around 1.5777.
•Support at 23.6% fib at 1.5738 is holding but break would send the pair further lower.
• Technical signals are bearish as RSI is at 34, daily momentum studies 5 ,11 and 14 DMAs are trending down.
• On the upside, Immediate resistance is located at 1.5788 ( 5DMA), any close above will push the pair towards 1.5820 (38.2%fib)
• On the downside, support is seen at 1.5738 (23.6% fib ) and break below could take the pair towards 1.5655 (Lower BB).
Recommendation: Good to sell around 1.5800, with stop loss of 1.5900 and target price of 1.5700.
