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FxWirePro:EUR/AUD consolidating around 1.6725, bias is bullish

• EUR/AUD declined on Tuesday after soft US CPI data sparked some short selling on the pair

• U.S. consumer prices were unchanged in October and underlying inflation showed signs of slowing. In the 12 months through October, the CPI climbed 3.2%

• A daily close above 1.6754( 38.2%fib)will further improve the technical outlook, and open the possibility of a rally towards 1.6800 level.

• Technical signals are bearish as RSI is heading up at 54, daily momentum studies  5, 9 and 1 DMAs are trending up. 

•  Immediate resistance is located at 1.6754( 38.2%fib), any close above will push the pair towards 1.6847 (23.6%fib)

• Strong support is seen at 1.6677 (9DMA ) and break below could take the pair towards 1.6661 (9DMA).

Recommendation: Good to buy   around 1.6700, with stop loss of 1.6600  and target price of 1.6780
 

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