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FxWirePro:EUR/AUD falls after RBA stays on hold , retains bearish bias

• EUR/AUD declined on Tuesday   as Australian dollar strengthened after RBA remained on hold at 4.10% .

• The Reserve Bank of Australia (RBA) kept its cash rate at an 11-year high of 4.10%, having lifted rates by 400 basis points since May last year.

• Technical signals are bearish as RSI is heading down  at 49, daily momentum studies  5, 9 and 11 DMAs are trending down. 

•  Immediate resistance is located at 1.6317 ( 11DMA), any close above will push the pair towards 1.6407(38.2%fib)

• Support is seen at 1.6231 (50%fib ) and break below could take the pair towards 1.6158(June 22nd Low).

Recommendation: Good to sell on rally around 1.6270, with stop loss of 1.6390 and target price of 1.6200.


 

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