• EUR/AUD declined on Wednesday as sellers maintained control and continued to dominate following the release of US CPI data and Fed minutes.
• Labor Department's closely watched CPI report released showed core prices growing at their slowest annual pace in over three years.
• The Federal Reserve held interest rates steady on Wednesday and pushed out the start of rate cuts to perhaps as late as December
• EUR/AUD is approaching 23.6%fib support, break lower risks run towards 1.6100 level.
• Technical are bearish, daily RSI is turning negative at 49 , daily momentum studies 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.6369(38.2%fib ), any close above will push the pair towards 1.6334(50%fib).
• Strong support is seen at 1.6175 (23.6%fib ), and break below could take the pair towards 1.6030 (Jan 2nd low).
Recommendation: Good to sell on around 1.6250 with stop loss of 1.6360 and target price of 1.6170
