EUR/AUD had 500 pips of non-volatile selling pressure for more than 2 weeks and reached the support area of 1.3680-1.3730. Today AU Construction Work Done Report showed negative figure of -0.2% which was expected to be 0.5%, this negative figure did made AUD show some weakness against the EUR after a long bearish move. The wage rate index was increased 0.1% at 0.5% which was equal to the expectation. On the other hand, EUR had German Business Info Climate report was positive at 111.0 which was expected to be 109.6. After the positive report on EUR side today, EUR was observed to have a good amount of bullish pressure against the AUD and now it is expected that if the EUR keeps the bullish pressure stable by the end of this week, we can expect much bullish move on the pair in the recent future.
Now let us look at the technical view, EUR/AUD has been strongly bearish since the break of 1.4130. price is currently residing between the support area and if the price breaks above the 1.3730 level with a daily close, further bullish move is expected to hit the resistance towards 1.4130. On the other hand, if the price breaks below the support 1.3680 it is expected that the price will be more down towards the support at 1.32. Either way, this pair is going to signal a good amount of move in the coming days.
