FX.co ★ Technical analysis of EUR/AUD for July 29, 2014

Technical outlook and chart setups:

1. The EUR/AUD pair is likely to resume a larger counter trend rally after bottoming out at 0.7870/80 levels last week. A push above 0.7940/50 levels from here would confirm and accelerate the same. Recommendations are to initiate long positions, risk remains below 0.7870 for now.

2. Support is seen at 0.7875 (interim), followed by 0.7760, while resistance is seen at 0.7980, followed by 0.8030 and higher respectively.

3. The structure indicates that EUR/AUD might be resuming at least a counter trend rally. Break above 0.7940/50 confirms it.

Trading recommendations:

Initiate long positions now, stop at 0.7870, target is open.

Good luck!