• EUR/ AUD initially gained on Tuesday but rally fizzled as investors geared up Thursdays U.S. CPI data for hints on near-term Fed policy.
• U.S. Consumer Price Index (CPI) data for December is due on Thursday and is one of the last major economic reports before the Fed's Jan. 31-Feb. 1 policy meeting.
• The pair attempted to breach resistance at 50% fib and dipped towards 1.5568 level . A decisive break closure below 38.2% fib could generate drop towards 1.5500 level in the short term.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 61 bullish, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.5633 ( 50% fib), any close above will push the pair towards 1.5667 (14DMA).
• Immediate support is seen at 1.5551(38.2% fib) and break below could take the pair towards 1.5454 (23.6% fib).
Recommendation: Good to sell around 1.5580, with stop loss of 1.5680 and target price of 1.5500
