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28 Feb 2014
EUR/AUD testing support of the ascending channel
FXStreet (Guatemala) - EUR/AUD is oscillating around the 1.53 handle after a drop from 1.5360 overnight.
EUR/AUD has been range bound and is shaping up to be so into the close of the week ahead of next weeks ECB policy meeting. “The euro is likely to remain on the defensive heading into next week’s ECB policy meeting with market participants wary that the ECB may ease monetary policy further and/or loosen liquidity conditions in the Eurosystem”, said FX strategists at the Bank of Tokyo Mitsubishi UFJ. From the calendar today we have seen Australian Private Sector Credit showing 0.4% m/m vs 0.5% expected. We are also reminded by the FX Strategists at the Bank of Tokyo Mitsubishi UFJ. that the partial indictors for Q4 GDP in Australia (which is out next Wed) have not been positive. The strategists said they are sticking with a 0.9% forecast but upside risks have now been removed. Technically the pair is challenging the ascending channels support from 1.5180 with a bullish bias being read still from the short term EMA's.
EUR/AUD has been range bound and is shaping up to be so into the close of the week ahead of next weeks ECB policy meeting. “The euro is likely to remain on the defensive heading into next week’s ECB policy meeting with market participants wary that the ECB may ease monetary policy further and/or loosen liquidity conditions in the Eurosystem”, said FX strategists at the Bank of Tokyo Mitsubishi UFJ. From the calendar today we have seen Australian Private Sector Credit showing 0.4% m/m vs 0.5% expected. We are also reminded by the FX Strategists at the Bank of Tokyo Mitsubishi UFJ. that the partial indictors for Q4 GDP in Australia (which is out next Wed) have not been positive. The strategists said they are sticking with a 0.9% forecast but upside risks have now been removed. Technically the pair is challenging the ascending channels support from 1.5180 with a bullish bias being read still from the short term EMA's.