FxWirePro- Currency Strength Index (4- Hour chart)- Currency pairs to watch(EURUSD and AUDUSD) for the day
Fxwirepro: EUR/AUD neutral in the near-term, scope for downward resumption
• EUR/AUD initially dipped on Thursday but recovered some ground after U.S. data showed consumer spending rose less than expected in May.
• Pair traded in 1.5078/1.5266 range and was last trading at 1.5174 into the US afternoon.
• The pair remains well 5DMA, daily close below increase the scope for much bigger drop.
• Immediate resistance is located at 1.5215 ( 5 DMA), any close above will push the pair towards 1.5290 (50%fib)
• Support is seen at 1.5072 (38.2%fib) and break below could take the pair towards 1.5000 (Psychological level).
Recommendation: Good to sell on rally around 1.5180, with stop loss of 1.5300 and target price of 1.5120.