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30 May 2013
EUR/AUD prints new multi year highs above 1.3500
FXstreet.com (Barcelona) - It’s been volatile Asia session for the EUR/AUD, at one point trading as high as 1.3515 (highest level since Oct ’11) but so far failing to maintain earlier strength and sitting 14 pips at 1.3413.
From a technical perspective, both short term moving averages and the RSI (14) remain in bullish set up, which could help to keep pullbacks limited. Furthermore, given the strong uptrend in the pair, the RSI (14) will tend to drop towards the 60 level very quickly on any sort of short term correction. This is also a bullish development that will allow momentum indicators to get out of overbought territory in the course of a few days.
The FXStreet.com Trend Index remains slightly bullish on the daily chart, while the ob/os index remains overbought. Initial support sits at 1.3373 (previous day low), followed by 1.3321 (the 9dma). First resistance sits at 1.3458 (bearish supply candle on 1 hour chart), followed by 1.3515 (high of session).
From a technical perspective, both short term moving averages and the RSI (14) remain in bullish set up, which could help to keep pullbacks limited. Furthermore, given the strong uptrend in the pair, the RSI (14) will tend to drop towards the 60 level very quickly on any sort of short term correction. This is also a bullish development that will allow momentum indicators to get out of overbought territory in the course of a few days.
The FXStreet.com Trend Index remains slightly bullish on the daily chart, while the ob/os index remains overbought. Initial support sits at 1.3373 (previous day low), followed by 1.3321 (the 9dma). First resistance sits at 1.3458 (bearish supply candle on 1 hour chart), followed by 1.3515 (high of session).