• EUR/AUD recovered some ground on Thursday as European Central Bank kept its massive stimulus taps open and maintained its view that a recent spike in inflation would be temporary.
• EUR/AUD fell as low as 1.5390 before buyers returned and underpinned .EUR/AUD moving higher into the US afternoon and is sitting around 1.5487
• 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 1.5502 ( 9DMA), any close above will push the pair towards 1.5550 (38.2%fib)
• Strong support is seen at 1.5420 (23.6% fib ) and break below could take the pair towards 1.5334(Lower BB).
Recommendation: Good to sell around 1.5420, with stop loss of 1.5500 and target price of 1.5370
