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FxWirePro :EUR/AUD under pressure after early buying dries up, knocking on door of key support

• EUR/AUD rose higher initially on Thursday but reversed course  as  US  CPI report   reinforced  sell-off in the pair.

 •Data showed U.S. inflation cooled in October, supporting expectations the Federal Reserve could slow its tightening pace.

•Sharp retreat has put EUR/NZD back below 21 DMA  and has put the 38.2%fib   at back in play. 

• Immediate resistance is located at 1.5511 (21DMA), any close above will push the pair towards 1.5610 (50% fib).

• Strong support is seen at 1.5397(38.2% fib) and break below could take the pair towards 1.5315(Lower BB ).

Recommendation: Good to sell around 1.5530, with stop loss of 1.5510  and target price of 1.5350
 

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