- Euro continued to retain buyers, and traded higher especially against the Aussie Dollar.
- The EURAUD pair broke a critical bearish trend line on the 4-hours chart, which pushed the pair higher.
- The pair is now above the 200 simple moving average on the 4-hours chart, which is a bullish sign.
- In the Euro Zone, the Gross Domestic Product released by the Eurostat posted an increase of 0.3% in Q3 2015, as forecasted.
The EURAUD pair enjoyed a decent run towards the upside, and traded above 1.5000 resistance area. The pair also broke an important bearish trend line and resistance area on the 4-hours chart to clear the way for more gain.
Moreover, the pair settled above the 100 and 200 simple moving averages, which may help buyers to gain momentum. The 4H RSI is around the overbought levels, which means there is a chance of a short-term correction.
A major resistance on the upside is near 1.5150 where we may witness a reaction in the near term.
Euro Zone GDP
Today, the Euro Zone Gross Domestic Product, which is a measure of the total value of all goods and services produced by the Eurozone was released by the Eurostat. The forecast was of an increase of 0.3% in the third quarter of 2015, compared with the preceding quarter. The outcome was as forecast, as the Euro Zone GDP grew 0.3%.
The yearly change was also around the expectation, and posted an increase of 1.6%. The report stated that “Compared with the same quarter of the previous year, seasonally adjusted GDP rose by 1.6% in the euro area and by 1.9% in the EU28 in the third quarter of 2015, the same as in the previous quarter“.
In short, the EURAUD pair is trading in the bullish zone, and it looks like it may head higher towards the 1.5180-1.5200 area.