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28 Nov 2013
EUR/AUD down hard after test of resistance Wednesday and bullish Aussie Capex Thursday
FXstreet.com (Barcelona) - EUR/AUD came into Wednesday overbought and nearing resistance at 1.4955. That resistance was tested (and it held) and was followed up early Thursday with some bullish capex data out of Australia.
EUR/AUD traders reacting to bullish Aussie data and readying for European data later
Aussie Private Sector Capital Expenditures came out at a surprising 3.6% versus the previous month’s reading of 1.6%. The news gave EUR/AUD traders an excuse to stop ramping the cross higher relentlessly for the time being. Later in the session, traders will need to react to German Unemployment, EuroZone Consumer Confidence, EuroZone Sentiment indicators and German Inflation Data.
Technical outlook for EUR/AUD
Technicians say EUR/AUD hit the Fibonacci-generated upside target of 1.4955 and has backed off a bit. Now, they say a modest correction / consolidation period may play out where the cross may drop to 1.4741. Additional support for the cross comes in at a lower Fibonacci level of 1.4609. The next upside target beyond 1.4917 is 1.5019.
EUR/AUD traders reacting to bullish Aussie data and readying for European data later
Aussie Private Sector Capital Expenditures came out at a surprising 3.6% versus the previous month’s reading of 1.6%. The news gave EUR/AUD traders an excuse to stop ramping the cross higher relentlessly for the time being. Later in the session, traders will need to react to German Unemployment, EuroZone Consumer Confidence, EuroZone Sentiment indicators and German Inflation Data.
Technical outlook for EUR/AUD
Technicians say EUR/AUD hit the Fibonacci-generated upside target of 1.4955 and has backed off a bit. Now, they say a modest correction / consolidation period may play out where the cross may drop to 1.4741. Additional support for the cross comes in at a lower Fibonacci level of 1.4609. The next upside target beyond 1.4917 is 1.5019.