- Euro after testing the 1.6070-80 resistance area against the Aussie Dollar corrected lower.
- There are a couple of support trend lines on the hourly chart that may hold losses in the short term.
- Italian Trade Balance released by the National Institute of Statistics registered a trade surplus of €4.409B, which was higher compared with the market expectation of €3.240B in November 2015.
- Overall, it looks like the EURAUD pair may trade higher in the short term since buyers may step in.
The EURAUD pair saw a decent upside rise during the past couple of sessions, and it looks like the current downside move may be a part of correction. There are a couple of bullish trend lines formed on the hourly chart, positioned along with the 50 and 100 simple moving averages to act as a buy area.
Only a break and close below the 100 MA may ignite a downside move, and could take the EURAUD pair towards the 200 MA.
On the upside, the 1.5940-50 area can act as a hurdle, followed by the 1.60 area.
Italian Trade Balance
The Italian Trade Balance, which is a balance between exports and imports of total goods and services was released by the National Institute of Statistics today. The market was expecting a trade surplus of €3.240B in November 2015, but the outcome was above the forecast. The Italian Trade Balance came in at €4.409B.
The report added that “November 2015, compared with the same month of the previous year, exports and imports increased (+6.4% and +3.8% respectively). Outgoing flows increased by 9.1% for EU countries and by 3.0% for non EU countries”.
Overall, there is a chance of another upside run in the EURAUD pair as long as it is above the highlighted trend lines.