FxWirePro: EUR/AUD bearish momentum builds as euro weakens

• EUR/AUD declined on Monday  as French political chaos continued to weigh on the euro 

• Sébastien Lecornu was reappointed as France’s prime minister on Friday, only four days after stepping down from the role

• France is experiencing its most severe political crisis in decades, as successive minority governments struggle to pass deficit-cutting budgets through a fractious legislature divided into three sharply opposed ideological blocs..

• The eurozone’s data calendar is light this week, featuring industrial production, trade figures, final September HICP, and Germany’s ZEW survey.

• Traders will also watch the RBA’s September meeting minutes on Tuesday and Australia’s September employment report on Thursday.

• Immediate resistance is located at 1.7787 ( SMA 20), any close above will push the pair towards 1.7954 (Higher BB)

• Support is seen at 1.7741 (Daily low) and break below could take the pair towards 1.7631(50%fib).

Recommendation: Good to sell on rally around 1.7780, with stop loss of 1.7950 and target price of 1.7700.