OANDA:EURAUD   Euro / Australian Dollar
Reasons For The Trade (always Fundamental and Technical - always):

EUR: ECB tapering their bond buying, and end of QE now in sight and signalled to the market by Mario Draghi in last meeting.

EUR: recovering from losses from Italian political tensions in November (Italian Budget concerns now no longer a concern)

EUR: Any good or semi-good data will be supportinve of EUR

AUD: Stockmarkets still in decline and AUD is a risk averse currency

AUD: RBA signalling to the market that an interest rate hike is further away and no intention to raise rates in near future

AUD: Sensitive to USA-China trade war and any stale mate on negotiations would weigh on the AUD

TECHNICALS: EURAUD created a new floor at 1.6050 a touch or bounce off that area would signal a bullish bias. The 1.6050 zone is also confluent with a 50% Fib retracement from recent move up on 4 HR chart

Risks To This Trade:
- EUR: Interest rate tightening has been pushed back a little too far in the future and data dependent - so bad data will be the risk here.
- AUD: Trade tensions with China alleviated with Trump and XI of China making a favourable trade deal. Also stock market bounce will be a risk to AUD causing it to strengthen mildly.

Trade closed: target reached