EURAUD defends previous lows

It looks like the EURAUD cross is about to surge again, which might indicate risk-off trading flows. 

On Thursday, it was seen up circa half a percent during the late Frankfurt session, trading at around 1.6210.

The price made a higher low on the four-hour chart, which could tell us that bulls are regaining control. More importantly, previous lows are still holding, meaning the bull market hasn't ended yet, despite the larger decline in August's last week.

Therefore, key support areas are near 1.6150, 1.6100/20, and afterward at June's lows of 1.6070. As long as the cross trades above these levels, the medium-term outlook still seems bullish.

The first selling zone could be near this week's highs of 1.6250, and if the price breaches above this resistance, we could see a quick rally toward 1.6300.

However, a stronger resistance is expected near 1.6360, where previous swing lows are located.
Cookie Policy: The Axiory website uses cookies and by continuing using the website you consent to this. Risk Warning: Trading leveraged products such as Forex and CFDs may not be suitable for all investors as they carry a high degree of risk to your capital. Please read the full Privacy Policy.