13 Feb 2014
EUR/AUD rockets to the moon onto 1.52
FXStreet (Guatemala) - EUR/AUD rocketed through the 1.51 handle as if it didn’t exist onto 1.52 territory on negative employment data.
The pair hit a high of 1.5210 from 1.5160 minutes after the data has been released. The Unemployment rate is 6.0% vs 5.8% expected and the employment change was -3,700 vs 15,000 expected. The AUD had been firmly advancing following strong Australian house price data and also from last Friday’s Statement on Monetary Policy the RBA revised up its forecasts for both growth and inflation. However, strategists at Rabobank noted,” Australia’s economy is still vulnerable to negative shocks from China and based on our concerns for Chinese growth”. The jobs data was not anticipated to come in so poorly and will certainly bring the bear back out of the woods for the time being. RSI(14) reads through 70 at 80 but fundamentals will take charge on this occasion.
The pair hit a high of 1.5210 from 1.5160 minutes after the data has been released. The Unemployment rate is 6.0% vs 5.8% expected and the employment change was -3,700 vs 15,000 expected. The AUD had been firmly advancing following strong Australian house price data and also from last Friday’s Statement on Monetary Policy the RBA revised up its forecasts for both growth and inflation. However, strategists at Rabobank noted,” Australia’s economy is still vulnerable to negative shocks from China and based on our concerns for Chinese growth”. The jobs data was not anticipated to come in so poorly and will certainly bring the bear back out of the woods for the time being. RSI(14) reads through 70 at 80 but fundamentals will take charge on this occasion.