The EUR/AUD currency pair formally continues to function within a downward trend, but starting from 2024, there has been a steady upward movement in favor of the Euro, which has led to constant testing of the resistance line. Therefore, there is a high probability of a breakthrough and trend reversal. Will the Euro have enough incentives for further growth? Let's find out in this review.
The Australian dollar remained under pressure this week as the inflation report was below expectations and the RBA took an already dovish stance and refused to further raise the policy rate. At the same time, there is also no support from China, and retail sales are showing near-zero dynamics. Demand for risky assets remains at an average level and does not contribute to the strengthening of the AUD.
Volatility will increase significantly next week. Expected publication of the index of manufacturing activity in China, a report on inflation in the EU, trade balance and the publication of RBA minutes in Australia. According to most technical analysis indicators, purchases will remain effective. The euro will continue rising against the Australian dollar. At this time, there are no objections to the Purchases. Such deals can be effective in the short and medium term.
