FxWirePro:EUR/AUD set for bigger drop, but close below key fibo needed

• EUR/AUD declined on Monday as upbeat Australia's labour market and retail sales data boosted Antipodean currency.

• Data out on Monday showed Australia's labor market remained strong amid the COVID lockdowns, while Australian retail sales beat forecasts in May.

• Investors awaited Australian central bank policy meeting on Tuesday which could see a course change in its massive stimulus programme.

• At GMT 16:04, the pair was trading down 0.01 percent   at 1.5752.

• Technical signals are bearish as RSI is heading down  at 49, daily momentum studies  5, 9 and 11 DMAs are trending down. 

• Immediate resistance is located at 1.5769( 9DMA), any close above will push the pair towards 1.5792 (38.2%fib)

• Strong support is seen at 1.5741 (50%fib ) and break below could take the pair towards 1.5687 (61.8%fib).

Recommendation: Good to sell   around 1.5760, with stop loss of 1.5840 and target price of 1.5690.