FxWirePro:EUR/AUD set to for bigger drop, but close below key fibo needed
• EUR/AUD declined on Monday as heavily lagging COVID-19 vaccinations efforts in the EU weighed on Euro.
• Recent rejection at 1.5571 (38.2%fib), is a bearish sign, a break and daily close under the 1.5343 (23.6%fib would weaken outlook further.
• At GMT 14:03, the pair was trading down 0.27 percent at 1.5456.
• Technical signals are bearish as RSI is heading down at 43, daily momentum studies 5, 9 and 11 DMAs are trending down.
• Immediate resistance is located at 1.5571 ( 38.2% fib), any close above will push the pair towards 1.5671 (50DMA)
• Support is seen at 1.5419 (March 4th low ) and break below could take the pair towards 1.5343 (23.6%fib).
Recommendation: Good to sell on rally around 1.5450 with stop loss of 1.5650 and target price of 1.5350.