EURAUD Breakout in Play
The breakout in EURAUD as per a recent Market Spotlight, is underway. Price has broken above the 1.5671 level and while above here, is on course to test the 1.5931 bull objective. Despite better risk appetite, EUR continues to outperform against AUD with the latter being capped by the ongoing trade stand-off with China. In the near term, continues weakness in USD favours further upside in EUR which should help keep EURAUD trading towards target. The bullish view will be negated on a dip back below the 1.2176.
Key Data to Watch
With little in the way of either EUR or AUD data, the focus will be on USD data over the rest of the week. Tomorrow’s GDP print will be the key reading to watch. If USD is seen lower in the wake of the release this should see EURAUD firmly higher. Even if there is some recovery in USD in response to the release, AIUD is likely to fall faster than EUR which should still keep the pair supported.
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Disclaimer: The material provided is for information purposes only and should not be considered as investment advice. The views, information, or opinions expressed in the text belong solely to the author, and not to the author’s employer, organization, committee or other group or individual or company.
Past performance is not indicative of future results.
High Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% and 75% of retail investor accounts lose money when trading CFDs with Tickmill UK Ltd and Tickmill Europe Ltd respectively. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.