• EUR/AUD declined sharply on Friday as fresh trade war salvos from President Trump sent EUR/AUD tumbling
• Donald Trump threatened a 50% tariff on EU goods and a 25% levy on iPhones and other smartphones made outside the U.S.
• Investors worry that such aggressive protectionist policies could slow global economic growth by dampening trade flows, reducing business investment, and undermining corporate earnings.
• U.S. Treasury Secretary Scott Bessent said Trump found the EU’s trade offers lacking and hoped the new tariff threats would "light a fire under the EU" during talks..
• Immediate resistance is located at 1.7611(38.2% fib), any close above will push the pair towards 1.7863(50% fib).
• Immediate support is seen at 1.7256 (23.6% fib) and break below could take the pair towards 1.7210(Lower BB).
Recommendation: Good to sell on dips around 1.7500, with stop loss of 1.7580 and target price of 1.7450.
