EUR/AUD has been in a non-volatile bullish trend recently which has surpassed and retested 1.51 recently. Today, Australian AIG Manufacturing Index was released with a worse figure of 54.8 from 59.2 previously, Private Capital Expenditure showed a rise to 0.3% from -0.1% which has affected by the currency growth but Retail Sales report showed growth of 1.0%, much stronger than the forecast for a 0.3% rise. The Retail Sales report is seen as a gauge of consumer spending which has a positive impact. Nevertheless, some bearish pressure is observed in the pair currently. On the Euro side, today Spanish Manufacturing PMI is due later which is expected to show a rise to 54.9 from 54.5 previously, Italian Manufacturing PMI is expected to be roughly the same at 56.1 which was 56.2 earlier, French Final Manufacturing PMI is expected to be unchanged at 54.0 whereas German Final Manufacturing PMI is expected to be unchanged at 59.4 and Eurozone Final Manufacturing PMI is also expected to remain flat at 57.0. Though the reports from the eurozone have not been released yet, but the most of forecasts suggest flat readings, any positive changes in these fundamental data could enable growth of AUD and promote gains of EUR in the coming days. The market is currently in a bullish bias which is expected to remain steady until Australia presents some positive reports in the future.
Now let us look at the technical chart. The price is currently in a non-volatile bullish trend which has recently broke above 1.5100 resistance level. Currently the price is expected to show some corrective moves along the way towards 1.5650 resistance. As the price remains above 1.4900, we will be in a bullish bias with a target towards 1.5650 until price breaks below 1.4900 with a daily close.
