EUR Trading Outlook (26-03-2014)

AUD/USD: The pair was set to finally close above the 200DMA. Overall the AUD is still in an uptrend, a full break of 0.9175 will keep the bulls run to a test of 0.9205/25 resistance. A break there sees little resistance until 0.9440/50

EUR/USD: The pair sank down to 1.3770 after ECB members’ statements and further pressure was added from Draghi’s speech, pushing the EUR to 1.3750. However, Draghi indicated that the bank is not ready to act yet without further evidences on deflation or disinflation. EUR/USD immediately erased most of the initial losses and pushed the pair up to 1.3847. Bulls are extent as recent attempts to clear 1.3750 failed and a bullish hammer forms on the daily chart.