FxWirepro: Cable Heads Towards Major Resistances, Consolidation Looks Healthy, Flurry of Bearish Candles Threaten – Trading & Hedging Setup
FxWirePro:EUR/AUD drops changes short term trend from neutral to bearish
• EUR/AUD declined on Wednesday as euro was weighed down after EU failed to agree on virus response.
• The pair currently is approaching support at 1.7470(23.6% fib). A break under 1.7470 would unmask 1.7300 level in the short term.
• Technical signals are bearish as RSI is at 44.31, daily momentum studies 5, 9 and 10 DMAs are trending down.
• On the upside, Immediate resistance is located at 1.7500 ( 5 DMA), any close above will push the pair towards 1.7629 (9 DMA)
• On the downside, support is seen at 1.7470 (23.6% fib ) and break below could take the pair towards 1.7168 (50 DMA).
Recommendation: Good to sell on rally around 1.7550, with stop loss of 1.7650 and target price of 1.7150.