EURAUD Down 3 Pips in Last Hour, in a Downtrend Over Past 30 Days; Nears 20 Day Moving Average

Hourly Update

(Last Updated September 14, 2020 23:15 GMT)

At the moment, EURAUD’s rate is down -3 pips (-0.02%) from the hour prior. This move is a reversal from the hour prior, which saw price move up. From a hourly perspective, the market looks fairly choppy; clear trends aren’t showing up on the 20, 50 and 100 hour timeframes. Regarding moving averages, it should first be noted that price has crossed the 100 and 50 hour moving averages, resulting in them with price now being below them. The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

EURAUD End of Day Recap

Updated 00:30 GMT (04:30 EST)

The back and forth price flow continues for EURAUD, which started today off at 1.62577, down 17 pips 0.1% from yesterday. Compared to its peers in the Forex, EURAUD gave its buyers a return that ranked 28th in terms of percentage change since yesterday. The price chart of EURAUD below illustrates.

EURAUD

EURAUD Technical Analysis

Notably, the current price of EURAUD is sitting close to its 20, 50, 100 and 200 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving down. For additional context, note that price has gone down 9 out of the past 14 days. And for candlestick traders, a special treat: there is a doji pattern showing up on the charts as well. Rejoice!

The View From Around the Web

Of note is that traders in aggregate have opinions on EURAUD, with 14 buy signals on our radar and 15 sell signals. This imputes a buy/sell ratio of 0.93, which is neutral. As for the rationale, technical traders seem to be citing the appearance of fibonacci, trendline and triangle technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

– Holding above trend line we can use as reference for exits- A bounce off trend line would cluster with 61.8% Fibonacci – Target 3 is the 61.8% retracement of August High to September LowKey Levels:Support – 200 EMA, 50 EMA, 1.62675, 1.62370Resistance – 1.63280, 1.63530, 1.63980Entry Zone: Optimal entry provides the greatest reward to risk ratio while supporting entry is a zone for reversal signals….Optimal Entry – 1.62590Supporting Entry – 1.62680Candle Reversals for entry- Bullish Hammer- Bullish Engulfing- Bullish PiercingThe Risk:As traders, it is your job to mitigate the risk and only trade structures that provide high probability and great reward to risk ratios….Reward / Reward Targets:Optimal Entry 1.62590 – Target 1 1.63280 = 2.5x Reward to RiskOptimal Entry 1.62590 – Target 2 1.63530 = 3.5x Reward to RiskOptimal Entry 1.62590 – Target 3 1.63980 = 5x Reward to RiskSupporting Entry 1.62680 – Target 1 1.63280 = 1.65x Reward to Risk Supporting Entry 1.62680 – Target 2 1.63280 = 2.2x Reward to Risk Supporting Entry 1.62680 – Target 3 1.63280 = 3.5x Reward to Risk


Forex Frank is a forex analyst and market commentator with nearly two decades of experience in currency trading. Follow him on social media: Facebook | Twitter | Instagram