EURAUD (10TH December to 14th December)
Analysis: Today we revisit the pair of EURAUD that we covered in our weekly analysis of the (26th November to 30th November). Recalling from our previous analysis of the pair, we take a look at how the market has traded since then, and how the pair is likely to trade this week, and the following few weeks.
From the charts we see that prices momentarily broke below the support of the prevailing ascending channel, only to rally up and end the week back in the channel. Furthermore, we have a confluence in that there is an imminent support/resistance level indicated by the horizontal. We will be watching this pair closely for precision at how prices will behave at this level, whether prices will move up past the level or if the pair will respect the resistance line and bounce back downwards.
Summary: We will be watching for price action signals/patterns to guide us on the direction that the pair will be trading, in order to pick the direction of our bias.