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1 Aug 2014
EUR/AUD testing the downside
FXStreet (Guatemala) - EUR/AUD is trading at 1.4393, down -0.08% on the day, having posted a daily high at 1.4410 and low at 1.4388.
EUR/AUD is testing the support here through the 1.44 handle. RSI is in neutral territory at 35.51, down from it’s last hourly close at 55.10, while ADX is ranging above 30 at 17.01, up from 16.94 at the last hourly close. Looking to a daily chart, we see that RSI is neutral at 44.25. The 200 SMA is currently at 1.4354, up from 1.4319 at the last period close, and climbing on the hourly EUR/AUD chart.
EUR/AUD consolidation
Valeria Bednarik, chief analyst at FXStreet explained that little may have happened in this consolidative Thursday, but at the end of the day, one thing stands out: Europe is at a brink of deflation with yearly basis inflation ticking down to 0.4% and the ECB at a cross road, condemning the EUR to fall if it acts increasing liquidity, or not acting at all next week. “But that’s looking way too ahead, as Friday will bring US employment figure, that an make it or break if for current dollar strength: market is expecting something around 230K in average with the last months, and anything above that should put the dollar in the bullish track; below 200K on the other way, will delay trends’ decisions to ECB meeting next week”.
EUR/AUD Levels
With spot trading at 1.4394, we can see next resistance ahead at 1.4405 (Daily Open), 1.4410 (Daily High), 1.4422 (Yesterday's High) and 1.4427 (Weekly Classic R1). Support below can be found at 1.4389 (Daily 20 SMA) and 1.4353 (Yesterday's Low).
EUR/AUD is testing the support here through the 1.44 handle. RSI is in neutral territory at 35.51, down from it’s last hourly close at 55.10, while ADX is ranging above 30 at 17.01, up from 16.94 at the last hourly close. Looking to a daily chart, we see that RSI is neutral at 44.25. The 200 SMA is currently at 1.4354, up from 1.4319 at the last period close, and climbing on the hourly EUR/AUD chart.
EUR/AUD consolidation
Valeria Bednarik, chief analyst at FXStreet explained that little may have happened in this consolidative Thursday, but at the end of the day, one thing stands out: Europe is at a brink of deflation with yearly basis inflation ticking down to 0.4% and the ECB at a cross road, condemning the EUR to fall if it acts increasing liquidity, or not acting at all next week. “But that’s looking way too ahead, as Friday will bring US employment figure, that an make it or break if for current dollar strength: market is expecting something around 230K in average with the last months, and anything above that should put the dollar in the bullish track; below 200K on the other way, will delay trends’ decisions to ECB meeting next week”.
EUR/AUD Levels
With spot trading at 1.4394, we can see next resistance ahead at 1.4405 (Daily Open), 1.4410 (Daily High), 1.4422 (Yesterday's High) and 1.4427 (Weekly Classic R1). Support below can be found at 1.4389 (Daily 20 SMA) and 1.4353 (Yesterday's Low).