Short eur/aud below 1.4652 awaiting for the confirmation

Hello Traders,

The long term fundamental on EUR Is clearly bearish and last week DRAGHI’s comment on possible currency intervention, push the EUR pairs to fresh one month new low across the board. DRAGHI has mentioned clearly that next month they are ready to act while stronger € currency is threatening their economy growth. . BASED on these views we are awaiting to go short on EUR/AUD. this pair is very volatile and spread is bit higher than other pairs. But there is high possibility of 400 pips profit if this support break.

If 1.4652 support breaks we will enter short with targets at 1.4500, 1.4380 and 1.4180. Meanwhile if this support hold we will stay side line to look for another attractive selling opportunity. Because EUR FUNDAMENTAL IS BEARISH & AUD FUNDAMENTAL IS BULLISH at the moment. If AUD/USD hits fresh highs on coming days and weeks this could support our arguments. Meantime if AUD/USD break through 0.9460 resistance our 400 pips target on EUR/AUD may be reached in very short period.

Hold your patient, find an attractive entry point & execute your trade. Let the money work for us. :slight_smile:

We wish you good luck. (We are not responsible for any loss/profit on this advise. It’s just for your information purpose only)


I already cashed in my EUR/AUD short trades, but I see how your strategy might work out. Cool idea. However, I think Draghi likes to talk. And as the Euro has already taken big hits due to his last announcement, I could imagine the Euro rallying again if the ECB takes no action next month.

Hi,

Your opinion has taken on board. Keep closer attention on tomorrow’s the Australian house price, home loans figures & coming Thursday EURO ZONE GDP & CPI. If we see improvements than forecast, of course the Euro will rally & DRAGHI doesn’t do anything new on next meeting. Having said this, higher the €/$ rate the higher the risk of ECB INTERVENTION at any time. So €/AUD SHORT trade could easily trigger on our favour. we are closely watching the price action this week. Even though we believe that if we fail on this trade opportunity near short term it will play our favour on long term basic.

We keep our fingers crossed. :slight_smile:

Hello traders,

We have entered short today and managed to sell @ 1.4655 rate. We are closely watching the EURO ZONE economic events and price actions every day. But we prefer to hold till NEXT ECB monetary policy statement to see any more opportunities to take control by bears.

Time will do the rest for us. :slight_smile: thank you.

Hello Traders,

EUR/AUD is trading near key resistance of 1.4800-825 range. If this resistance fail to break this could be another great entry point for selling this pair. Long term trade more pips= more profit.

Is this terminology an established, professional institutional trader would use to describe their trading tactics?
Food for thought.

Hello traders,

We are still holding our short trade based on bearish EUR fundamental. The RECENT RBA dovish comment has depreciated the AUD value across all currency pairs and also pushed EUR/AUD towards 1.4870 high so far from 1.4560. Meantime we have noticed that recent downtrend (1.5020-1.4560) has been retraced at 0.618 retracement level at 1.4840-70 range. This factor strengthen our short position further technically. RSI is below 50 on a daily chart. So if we were right on this technical retracement, the downtrend is not over yet & we may see this pair go below 1.4300 level in medium to long term. Again it all depend on next ECB MEETING.

Our stop loss on this trade will be activated on a Daily close above 1.4950. Having said this we still see fundamental and technical favours EUR weakness.

Thank you.


Hello Traders,

Today we have booked half of the positions profit @ 1.4545 & set our stop lost to break even point. Technically the trend might go further down. But fundamental is not bearish as before after ECB new decisions to support economy. Having said this we are not convinced to take any new position at given situation. We stay side line for the moment to see how trend develop & re enter at any attractive entry point.

Thank you.

Technical Analysis of EUR/AUD Dates 2014.12.17

EUR/AUD was in a strong and consistent uptrend during the recent weeks that Buyers were successful in obtaining the highest price of 1.53302.Currently price in long term time frames such as monthly and weekly is above 5-day moving average and warns more ascending in long term interval.As it is obvious in the picture below, between the top price of 1.53302 and bottom price of 1.38067 there is AB=CD harmonic pattern with ratios of 50 and 161.8 that warns the potential of descending from the D point of this pattern.

RSI indicator is in saturation BUY area in h4 and daily time frames and in divergence mode with the price chart that warns about changing price direction during the next days.According to the current situation there is not any clear reason about descending of price in long term time frames such as monthly,weekly and daily. The least sign for descending of price is formation of a top price and recording of it in daily time frame.