{"id":62696,"date":"2014-10-28T19:10:22","date_gmt":"2014-10-28T23:10:22","guid":{"rendered":"http:\/\/countingpips.com\/?p=62696"},"modified":"2014-10-28T19:58:49","modified_gmt":"2014-10-28T23:58:49","slug":"euraud-range-contracts-as-breakout-looms","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2014\/10\/euraud-range-contracts-as-breakout-looms\/","title":{"rendered":"EUR\/AUD: Range Contracts As Breakout Looms"},"content":{"rendered":"<div id=\"inves-2778212865\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">October 28, 2014<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p>Technical Sentiment: <strong>Neutral<\/strong><\/p>\n<p><strong>Key Takeaways<\/strong><\/p>\n<ul>\n<li>Steady flows in AUD were noticed throughout the day as the greenback took another beating on weaker than expected data;<\/li>\n<li>EUR\/AUD shows a descending triangle pattern which usually ends with price breaking below support;<\/li>\n<\/ul>\n<p><em>Aussie advanced further against a basket of currencies on Tuesday, but EUR\/AUD held above support at 1.4358 as daily ranges contract ahead of a possibly large breakout move.<\/em><\/p>\n<p><em>\u00a0<\/em><\/p>\n<p><strong>Technical Analysis<\/strong><\/p>\n<p>In our last analysis on EUR\/AUD, technical signals were heavily skewed in favor of sellers, pointing to a break below 1.4256. This event, however, never took place, leaving the pair in a state of temporary limbo while traders look for the proper economic hints to set the main direction.<\/p>\n<p>A large descending triangle pattern was finally confirmed during 28<sup>th<\/sup>\/10 European session, when EUR\/AUD re-tested and bounced off 1.4358 (38.2% Fibonacci retracement from Low point at 1.3798 to High at 1.4704). On the upside, rallies still comply with a bearish structure, forming consistent lower highs near a resistance trendline. With price quickly approaching the bottleneck, it\u2019s obvious that a breakout is imminent on Wednesday.<\/p><div id=\"inves-2992849507\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<p><img decoding=\"async\" src=\"http:\/\/capitaltrustmarkets.com\/wp-content\/uploads\/2014\/10\/EURAUD28thOctober.png\" alt=\"EURAUD28thOctober\" \/><\/p>\n<p>Bearish confirmation will come after a break and close below 1.4358. This will pave the way towards 1.4300\/13, possibly changing the Daily swing structure as a fresh Low should be priced in. Medium-term targets follow at 1.4251 and 1.4144.<\/p>\n<p>A bullish scenario comes into effect only if EUR\/AUD rallies above 1.4450, breaking above the trendline, previous lower high and 200 Simple Moving Average on 4H. Buyers would then target 1.4510\/15, 1.4600 and ultimately October\u2019s High at 1.4704.<\/p>\n<p>*********<br \/>\nPrepared by Alex, Currency Strategist at <a href=\"http:\/\/www.capitaltrustmarkets.com\">Capital Trust Markets<\/a><\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Technical Sentiment: Neutral Key Takeaways Steady flows in AUD were noticed throughout the day as the greenback took another beating on weaker than expected data; EUR\/AUD shows a descending triangle pattern which usually ends with price breaking below support; Aussie advanced further against a basket of currencies on Tuesday, but EUR\/AUD held above support at [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-62696","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/62696","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=62696"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/62696\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=62696"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=62696"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=62696"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}