FxWirePro: EUR/AUD drifts lower ,could be on verge of bigger drop

• EUR/AUD dipped    on Tuesday  as easing oil prices lifted broader risk sentiment and supported risk-sensitive currencies like Australian dollar.

• Market tone improved on reports of potential diplomatic engagement between the U.S. and Iran, driving WTI crude down 7.0% and the DXY 0.3% lower amid reduced safe-haven demand.

• Industrial metals extended their rally, with nickel rising 2.9% and copper up 1.9%, both approaching pre-conflict highs on improved demand expectations.

• Attention will also turn to RBA Deputy Governor Andrew Hauser’s speech in Washington D.C. on Wednesday evening for any policy guidance or rate signals.

• Strong  resistance is located at 1.6624(SMA 20), any close above will push the pair towards 1.6724(50%fib)

• Immediate support is seen at 1.6466(38.2%fib) and break below could take the pair towards 1.6416(Lower BB).

  Recommendation: Good to sell   around 1.6550, with stop loss of 1.6620 and target price of 1.6500