EURAUD Lower
Trying EURAUD lower.
We have a potential double top forming from way back.
I think the narrative is changing in favour of AUD. The RBA minutes were more hawkish than people were expecting and the next meeting is live for a potential hike depending on future data. China data has been good and i'm expecting AUD data to be good on the back of this and a relatively decent AUD economy currently. The EUR narrative has lost a little bit of steam and i think global yields overall will struggle to move too much higher, which should limit EUR upside for the pair. I think as we get further into the year the better the AUD narrative will become as china slowly reopens.
correlations are a little mixed, rate differentials are a little neutral here while copper, risk and the VIX are all suggesting lower - although the pair has had trouble following this i believe because of the rising yields, which i expect will slow down.
Sentiment and positioning for the pair is extremely high which should help.
Not trading/investment advise, feedback welcome!
We have a potential double top forming from way back.
I think the narrative is changing in favour of AUD. The RBA minutes were more hawkish than people were expecting and the next meeting is live for a potential hike depending on future data. China data has been good and i'm expecting AUD data to be good on the back of this and a relatively decent AUD economy currently. The EUR narrative has lost a little bit of steam and i think global yields overall will struggle to move too much higher, which should limit EUR upside for the pair. I think as we get further into the year the better the AUD narrative will become as china slowly reopens.
correlations are a little mixed, rate differentials are a little neutral here while copper, risk and the VIX are all suggesting lower - although the pair has had trouble following this i believe because of the rising yields, which i expect will slow down.
Sentiment and positioning for the pair is extremely high which should help.
Not trading/investment advise, feedback welcome!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.