Westpac: sell EUR/AUD on rallies
Westpac analysts recommend selling EUR/AUD on rallies to 1.5400 and with a target of 1.4500.
Covering of the euro shorts in the year-end could render some support for the pair. However, more sustainable growth seems to be unlikely: ECB will almost certainly ease policy in Q1, while the RBA still has some room for thought. That’s why analysts recommend using the corrective recovery for EUR sales.
Chart. Daily EUR/AUD