EUR/AUD: Reversal maybe on the horizon
|If we look at the daily chart of EUR/AUD, we can see that the Thursday session resulted in a hammer candle formation followed by a bullish engulfing candle on the Fridays session, signs of a potential trend reversal. We can see that today's candle crossed above Tenkan Sen but is yet to close above it. Ideally, we would be looking for a candle close above Kijun Sen to justify a long position as Tenkan Sen is currently downward sloping suggesting some selling momentum. Tenkan Sen is likely to start levelling off should the price close above Tenkan Sen at the close of today's session. We are likely to see some price consolidation between Tenkan Sen and Kijun Sen before seeing any solid directional move.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.