• EUR/AUD declined on Monday as Australian dollar was buoyed by higher commodities, easier COVID curbs.
• Australian dollar gained after gyms and restaurants in Sydney welcomed back fully vaccinated customers after nearly four months of lockdown. Higher oil and iron ore prices also supported antipodean currency.
• At GMT 20:07, the pair was trading down 0.66 percent at 1.5723.
• Technical signals are bearish as RSI is heading down at 30, daily momentum studies 5, 9 and 11 DMAs are trending down.
• Immediate resistance is located at 1.5787 ( 38.2%fib), any close above will push the pair towards 1.5723(5 DMA)
• Support is seen at 1.5686 (23.6 %fib ) and break below could take the pair towards 1.5616 (6th July low).
Recommendation: Good to sell on rally around 1.5730, with stop loss of 1.5850 and target price of 1.5660.
