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FxWirePro: EUR/ AUD neutral in the near-term, scope for downward resumption

• EUR/ AUD eased  on Wednesday  but down side was limited as market  assessed political uncertainties in France.

• The left-wing and centrist parties performed better than the right-wing National Rally, but no party secured enough votes to form a government, leading to a hung parliament.

•Political risks in France could impact other fiscally weak Eurozone members like Italy,   spook foreign investors.

• Technical signals show the pair could lose more ground in the short-term as RSI is at 36,while moving averages and MACD are trending lower. 

• Immediate resistance is located at 1.6097( 5DMA), any close above will push the pair towards 1.6147 (38.2%fib).

• Immediate support is seen at 1.6028 (23.6%fib) and break below could take the pair towards 1.6008(Lower BB).

Recommendation: Good to sell around 1.6030, with stop loss of 1.6100  and target price of 1.5950
 

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