EURAUD Forecast: RBA ECB and potential breakout
The pair has been stuck in a 180-pip range for nearly a whole month now.
EURAUD traders will be focused on Australia’s Q2 CPI reading in Wednesday’s Asian session and Thursday’s ECB meeting.
The market is pricing in about a 10% chance of a rate hike from the RBA by the end of the year, a better than expected data would trigger the bearish move. Draghi killed the hopes of rate hikes in early 2019, a revision to core inflation.
We are likely to see a breakout of this narrow trading range this week.
A bullish breakout 1.58800 – 1.59000 may take the price toward 1.59900 and 1.61100. A Bearish breakout could expose Fibonacci Retracement 61.8% 1.51100.
H4 Chart is giving us a better entry level depending on the Aussie CPI. The pair ended the week at 1.57981 below the MM Pivot 1.58080.
1.57470 is the major support in the H4 Charts. An H4 closing below 1.54470 could confirm us the bearish rally.
There are a few chart patterns forming in different chart timeframes. We will publish the trade ideas as soon as we got a clear confirmation.
Link to EURAUD Trade Setup for the Members: EURAUD BEARISH SHARK
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EURAUD Forecast: Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these securities. You should do your own thorough research before making any investment decisions. Chartreaderpro does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Forex involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility