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FxWirePro: EUR/AUD hits fresh multi-month lows, further downside likely

  • Our short call on EUR/AUD (link below) is progressing, the Australian dollar hit fresh multi-month highs at 1.4634 against the euro earlier on Wednesday and is currently trading at 1.4666
     
  • The pair trends south towards June lows, was slightly up in Asia as EUR was bid amid broad USD weakness & bargain hunting
     
  • Bearish outside day re-enforcing the downtrend, momentum studies, 5, 10 & 20 DMAs head south - bearish setup intact
     
  • The pair could see a retracement all the way to 1.4400 and then 1.4360 (76.4 % Fibo of Apr to Aug rise) with little chart support seen until then 
     
  • Next immediate support is seen at 1.4662 levels, while resistance now lies at 1.4785 (61.8 % Fibo 1.3677 to 1.6584 (Apr - Aug) rise

 

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