I’m seeing this tight consolidation sample on EUR/AUD that may be an indication of huge strikes to come back.
Which means will it go?
Earlier than transferring on, ICYMI, yesterday’s watchlist checked out EUR/NZD inflection points ahead of New Zealand’s jobs release. Make sure you take a look at if it’s nonetheless a legitimate play!
And now for the headlines that rocked the markets within the final trading sessions:
Contemporary Market Headlines & Financial Information:
U.S. JOLTS job openings up by 11.55M vs. projected 11.19M determine
New Zealand GDT dairy costs down by 8.5%
New Zealand employment change up by 0.1% as anticipated in Q1 2022
New Zealand unemployment price unchanged at 3.2% as anticipated
New Zealand labor value index up by one other 0.7% as anticipated
Commodity costs in New Zealand slipped by 1.9% in April – ANZ
Australian retail gross sales jumped 1.6% vs. projected 0.4% uptick
Spanish unemployment change at -86.3K vs. estimated -75K determine
EU’s von der Leyen: We are going to part out Russian oil in six months
Eurozone retail gross sales at 9:00 pm GMT
U.S. ADP non-farm employment change at 12:15 pm GMT
U.S. ISM companies PMI at 2:00 pm GMT
FOMC assertion at 6:00 pm GMT
U.S. President Biden to talk at 6:00 pm GMT
FOMC press convention at 6:30 pm GMT
Use our new Currency Heat Map to rapidly see a visible overview of the foreign exchange market’s value motion! 🔥 🗺️
What to Watch: EUR/AUD
With all of the bombshells popping out of the U.S. financial system immediately, I’m steering away from greenback pairs in the meanwhile!
As a substitute, I’ve acquired this comdoll cross on my radar as a result of the triangle pattern is just too good to move up. Worth is already hovering across the backside of the formation, probably contemplating a bearish break.
Technical indicators are giving blended alerts, although. The bearish moving average crossover means that help is extra prone to break than to carry, however Stochastic seems to be prepared to show greater from the oversold area.
In that case, EUR/AUD may nonetheless bounce proper again as much as the highest of the triangle across the 1.4900 deal with.
I’m leaning in direction of extra features for the Aussie for the reason that Land Down Beneath simply printed stronger than anticipated retail gross sales knowledge earlier on, following a extra hawkish RBA resolution this week.