• EUR/AUD declined on Tuesday as firmer U.S. Treasury yields and a stronger Australian dollar weighed on euro.
• Reserve Bank of Australia left its monetary policy unchanged as widely expected on Tuesday.
• EUR/AUD remains vulnerable, only a break and daily close above 1.5977 (38.2%fib) will shift bias to the upside.
• Technical signals are bearish as RSI is heading down at 38, daily momentum studies 5, 9 and 1 DMAs are trending down.
• Immediate resistance is located at 1.5945 (100DMA), any close above will push the pair towards 1.5977 (38.2%fib)
• Immediate support is seen at 1.5886(23.6%fib) and break below could take the pair towards 1.5874 (July 16th low).
Recommendation: Good to sell around 1.5920, with stop loss of 1.5990 and target price of 1.5840
