11 Mar 2015
EUR/AUD: Contained by descending resistance line
FXStreet (Guatemala) - EUR/AUD is currently trading at 1.4020 with a high of 1.4039 and a low of 1.3991.
EUR/AUD has popped up a couple of times through 1.4020 and is pressured higher on the back of further disappointments in Aussie data, when yesterday was the business climate and today is the climate in consumer sentiment. Previously today however, RBA Assistant Governor (Economic) Christopher Kent was speaking in Hobart, and said he supports the RBA's current policy which will continue to support the economy.
The main take away form the speech was that he mentioned the new lower value of the Aussie is beginning to help the economy to adjust. Technically, the cross is contained by the descending resistance line from 1.4120 on the short term charts and broadly the pair is in a bearish trend from the 1.48 handle. Fundamentals are driving the cross lower on the basis of the ECB's commencement of full on QE this week that has sent the euro out of the room and crashing down to new yearly lows with sights on 1.0500 as the bears target in the medium term, pressuring the cross despite bearishness around the Australian economy.
EUR/AUD has popped up a couple of times through 1.4020 and is pressured higher on the back of further disappointments in Aussie data, when yesterday was the business climate and today is the climate in consumer sentiment. Previously today however, RBA Assistant Governor (Economic) Christopher Kent was speaking in Hobart, and said he supports the RBA's current policy which will continue to support the economy.
The main take away form the speech was that he mentioned the new lower value of the Aussie is beginning to help the economy to adjust. Technically, the cross is contained by the descending resistance line from 1.4120 on the short term charts and broadly the pair is in a bearish trend from the 1.48 handle. Fundamentals are driving the cross lower on the basis of the ECB's commencement of full on QE this week that has sent the euro out of the room and crashing down to new yearly lows with sights on 1.0500 as the bears target in the medium term, pressuring the cross despite bearishness around the Australian economy.