FxWirePro: EUR/AUD dips below 1.6200 level ,vulnerable to more downside

• EUR/AUD slipped lower on Friday as nervousness over the economic impact of the U.S.-Israeli conflict with Iran and elevated oil prices weighed on the pair.

• The European Central Bank raised interest rates and cautioned that inflation may stay higher for longer amid rising energy prices linked to the prolonged Middle East conflict..

• Intensifying U.S.-Iran attacks across the Gulf since late August have driven oil prices above $100 a barrel again, raising fresh inflation concerns in the fuel-dependent euro zone and making the ECB's battle against price pressures more difficult.

• Meanwhile, closely watched U.S. consumer price data showed inflation accelerated in August, while a key measure of underlying inflation posted its biggest increase in four months, reinforcing expectations that the Federal Reserve will raise interest rates next week.

• Immediate resistance is located at 1.6233(38.2%fib), any close above will push the pair towards 1.6342(50%fib).

• Immediate support is seen at 1.6084(23.6%fib) and break below could take the pair towards 1.6000(Lower BB)
    
Recommendation: Good to sell around 1.6200, with stop loss of 1.6280 and target price of 1.6100