The following are the intraday outlooks for EUR/USD, EUR/GBP, and AUD/NZD as provided by the technical strategy team at SEB Group.
EUR/USD: At least temporary halted. The pair moved a little deeper into the 1.13’s than expected before returning to the outlined 1.1242 correction target. Given the violation of 1.1208 (on Wed) the best fitted wave pattern calls for the setback to be corrective and that there’s a high above 1.1468 lurking. For today we are initially looking for bids around 1.1175 (secondarily around 1.113).
EUR/GBP: Halted in the triangle’s upper end. The 0.7383/92 target range was yesterday met and so far the response from the sellers looks encouraging (if maintaining the bearish triangle wave count). Following the textbook (for triangles) a continued decline down towards 0.7127 (78.6% of the latest advance) should now follow.
AUD/NZD: A double top? Having completed a five wave rise from the 1.0021 April low has put the cross in a rather vulnerable position calling for a downside correction to at least the 1.0578 support (however without excluding a deeper reaction given that the first reaction after a trend change normally goes very deep into the preceding advance). A bearish divergence in momentum indicators does also underpin a shorter term bearish view.
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