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

• EUR/AUD dipped on Wednesday as investors remained short on the pair ahead of Thursday’s European Central Bank policy meeting.

• European Central Bank focus will be on the bank’s messaging after it failed to raise its emergency bond purchases during the recent sell-off.

• EUAUD stood at 1.5434, having recovered from 1.5395 (Daily low). EURAUD has managed to stay clear of major support around 1.5354( 23.6%fib).  

• Daily techs  favours  bearish sentiment, RSI is at 41 and pair trades below 5,9  & 11-DMAs.

• Resistance is located at 1.5446 ( 5DMA) and at 1.5495 (38.2%fib).

• Support is found at 1.5354( 23.6%fib)  and at 1.5285 (Lower BB).

Recommendation: Good to sell   around 1.5440 with stop loss of 1.5600 and target price of 1.5350.
 

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