Forex: EUR/AUD capped below 1.2550

FXstreet.com (Barcelona) - EUR/AUD is last at 1.2532, off recent session highs at 1.2555, almost back to where it started the week. The cross closed Friday at 1.2514, and so far has not seen any negative in the current session as Aussie has started pretty weak, while Euro has been holding stable around the 1.30 handle.

Since AIG construction index in Australia has been released, few minutes ago, still below the 50 level for 34th consecutive month, AUD/USD has printed fresh 14-day lows below the 1.0350 mark, but has since then rebounded till current 1.0370, while EUR/USD keeps unchanged around the 1.30, and thus the cross has moved back to the downside, almost printing a double high with Fridays highs at 1.2365, highest since March 15.

“EUR/AUD is another of the crosses showing bullish technical and positioning factors,” says FXWW founder Sean Lee, who adds: “I’m long of this cross and this we could see levels near 1.30 again very soon,” he suggests.

Immediate resistance to the upside for EUR/AUD shows at recent session and Friday's highs 1.2555/65, followed by March 15 highs at 1.2622, and March 06/08 lows at 1.2650/5. To the downside, closest support lies at March 25 highs at 1.2494, followed by March 14 lows/March 22 highs 1.2460, and Thursday's highs/200 day SMA at 1.2420/10.