EUR/AUD Price Analysis: RSI hidden bullish divergence, bulls seek upside continuation

EUR/AUD bulls are in the driving seat in a continuation medium-term prospect.
4-hour divergence is compelling for a break of near-term resistance in coming sessions.

Ross J Burland FXStreet

The price of EUR/AUD is sending bullish smoke signals from afar given that the longer-term outlook is one of recovery, while the nearer-term developments are hidden bullish divergence.

The following illustrates the bullish bias in a top-down analysis which could potentially be something for traders to act upon.

Weekly chart

From a weekly perspective, the price is in a bullish trend following a healthy 50% mean reversion and en-route for a test of the weekly October 2020 supply area.

Daily chart

From a daily perspective, the price has met support and is seeking to correct the correction of the prior daily bullish impulse.

4-hour chart

From a 4-hour basis, the price is displaying hidden bullish divergence from the RSI.

The bulls have also broken the old resistance structure, near the 21-EMA.

This would now be expected to act as support aligned with the between the 1.6225 and 1.6205 zones should the resistance hold bulls off on first attempts.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

EUR/USD climbs to daily highs near 1.1820

EUR/USD now picks up pace and advances to the area of daily peaks north of the 1.1800 barrier at the end of the week. The pair’s decent move higher comes against the backdrop of a generalised lack of direction in the FX galaxy and the mild offered stance in the US Dollar.

GBP/USD trims losses, retests 1.3460

After briefly challenging its key 200-day SMA near 1.3440, GBP/USD now manages to regain some balance and revisit the 1.3460 zone on Friday. Cable’s pullback comes as the selling pressure on the Greenback gathers traction, reigniting some recovery in the risk-linked space.

Gold flirts with four-week highs past $5,200

Gold extends its rebound, climbing for a third consecutive session and pushing back above the $5,200 mark per troy ounce on Friday. The move higher continues to draw support from lingering geopolitical tensions and the ongoing uncertainty surrounding US trade policy, both of which are keeping safe-haven demand firmly in play.

Bitcoin, Ethereum and Ripple consolidate with short-term cautious bullish bias

Bitcoin, Ethereum and Ripple are consolidating near key technical areas on Friday, showing mild signs of stabilization after recent volatility. BTC holds above $67,000 despite mild losses so far this week, while ETH hovers around $2,000 after a rejection near its upper consolidation boundary.

Changing the game: International implications of recent tariff developments

The Supreme Court ruling on International Emergency Economic Powers Act (IEEPA) tariffs provides limited relief for the rest of the world, with weighted average tariff rates modestly lower.

Starknet unveils strkBTC, shielded Bitcoin transactions on Ethereum Layer 2

Starknet, the Ethereum Layer 2 network developed by StarkWare, today announced strkBTC, a wrapped Bitcoin asset that introduces optional shielding while preserving full DeFi composability.