EURAUD - APPROACHING DEMAND ZONE

AUD is strongly bullish recently due to the improve risk sentiment. As global economy is showing sign of recovery, FED confirm that US economy is in good shape, AUD continue to enjoy this bullish move for at least till next week.

However, with several data come out next week, there might be some volatility for AUD pairs. Most important is the rate decision. Although it is clear that another rate cut in this November can be rule out, RBA inflation target nor employment rate target has not achieved. Therefore, I expect some kind of dovish tone in RBA statement in Tuesday stating that they will pause rate cut to see the previous cut kicks in the economy, but they will act again soon (maybe December) to ensure their target achieve. Thus, I am looking for any sign of weakness against AUD pairs from now to next week.

EURAUD has a SHS parttern in D1; however, neckline is still solid which gives us no confirmed bias that EURAUD is good for long-term short. Therefore, I am looking for a bounce at this current zone.