Fxwirepro: EUR/AUD reverses recent rally, bias back to downside

• EUR/AUD declined on Thursday as the pair got caught in a downdraft of selling. The move sent the pair over 2.91% lower.

• The pair dropped quickly to test (38.2 fib) at 1.8008. A break under 1.8008 would unmask 1.7569 (23.6% fib) level.

• Only a close above 1.9083 (Higher BB) would indicate the current downward pressure has eased.

• At GMT 18:15, the pair was trading 2.59% lower at 1.8409, sharply lower from daily high at 1.9814.

• On the upside, Immediate resistance is located at 1.8708 ( 61.8% fib), any close above will push the pair towards 1.9083 (Higher BB).

• On the downside, support is seen at 1.8350 (50% fib) and break below could take the pair towards 1.8008 (38.2% fib).

Recommendation: Good to sell on rally around 1.8600, with stop loss of 1.9000 and target price of 1.8000.