Key Points
- The Euro remained above the 1.4140 support against the Aussie dollar and may trade higher.
- There is an important bullish trend line with support at 1.4130 formed on the hourly chart of EURAUD.
- Today in Australia, the Westpac Consumer Confidence for April 2017 was released by the Faculty of Economics and Commerce Melbourne Institute.
- The outcome was on the lower side, as there was a decline of 0.7% in April 2017.
EURAUD Technical Analysis
The Euro slowly moved higher from the 1.4020 low against the Aussie Dollar, and traded above 1.4100. The EURAUD is currently following a nice bullish trend line with support at 1.4130 formed on the hourly chart. The pair is also above the 21 hourly simple moving average at 1.4140, which is a positive sign.
At the moment, the pair is attempting to break a major resistance at 1.4180, and struggling to break it.
However, as long as the pair is above the trend line support or 1.4120, there are high chances of a break above the highlighted resistance area. On the downside, an initial support is near the 21 hourly simple moving average at 1.4140.
Westpac Consumer Confidence
Recently in China, the in Australia, the Westpac Consumer Confidence for April 2017 was released by the Faculty of Economics and Commerce Melbourne Institute. The forecast was lined up for no major decline in the confidence in April 2017, compared with the last increase of 0.1%.
However, the result was on the lower side, as there was a decline of 0.7% in April 2017. It looks like the market sentiment was not favoring the Aussie dollar since the Chinese CPI also posted a lower than expected increase of 0.9%, putting pressure on the AUD.
Overall, there are high chances of EURAUD breaking the 1.4175 resistance for further gains towards the 1.4200 level.
