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It looks like another quiet session ahead, but we could see movement in EUR/AUD with economic updates from both Australia and the Euro area on Tuesday.

Before moving on, ICYMI, today’s Daily U.S. Session Watchlist looked at a potential technical setup on GBP/NZD, so be sure to check that out to see if there is still a potential play!

Intermarket Update:

Equity Markets Bond Yields Commodities & Crypto
DAX: 15215.00 -0.13%
FTSE: 6889.12 -0.39%
S&P 500: 4127.99 -0.02%
NASDAQ: 13850.00 -0.36%
US 10-YR: 1.671%  +0.005
Bund 10-YR: -0.291% +0.001
UK 10-YR: 0.786% -0.004
JPN 10-YR: 0.111% +0.005
Oil: 59.78 +0.78%
Gold: 1,732.40 -0.711%
Bitcoin: 60,080.00 +0.72%
Ethereum: 2,143.95 +0.04%

Fresh Market Headlines & Economic Data:

CEO of a top bitcoin exchange warns a crackdown on cryptocurrencies may be coming

WHO says Covid pandemic is growing ‘exponentially’ at more than 4.4 million new cases a week

U.S. consumers raise outlook for inflation, labor market, NY Fed survey finds

Fed’s Rosengren says labor market could tighten as pandemic nears end

Big U.S. banks cut loans to record low, again, as deposits jump

ECB’s Panetta says Euro area may have lost two years of growth

In Feb 2021, Volume of retail trade up by 3.0% m/m in euro area and by 2.9% m/m in the EU

BoE’s Tenreyro says removing policy support too early could be costly

Business sentiment jumps to third-highest ever in Canada

Upcoming Potential Catalysts on the Economic Calendar

U.K. Retail Sales Monitor at 11:01 pm GMT
Japan M2 Money Supply
Australia New Home Sales at 12:00 am GMT (Apr. 13)
Australia Business Confidence at 1:30 am GMT (Apr. 13)
China Trade Balance at 3:00 am GMT (Apr. 13)
Germany Wholesale Prices at 6:00 am GMT (Apr. 13)
U.K. GDP, Trade Balance, Industrial & Manufacturing Production at 6:00 am GMT (Apr. 13)
Italy Industrial Production at 8:00 am GMT (Apr. 13)
ZEW Economic Sentiment Index at 9:00 am GMT (Apr. 13)

What to Watch: EUR/AUD

EUR/AUD 1-Hour Forex Chart
EUR/AUD 1-Hour Forex Chart

On the one hour chart above of EUR/AUD, we can see the bulls have been in solid control over the last week, but lately finding it tough to move higher at the 1.5650 minor psychological level. Price action as been consolidating between the 1.5550 – 1.5650 range, setting up a potential breakout play if we see a strong enough catalyst.

Unfortunately, our lineup of potential catalysts for the Tuesday session looks pretty weak as most events are low to mid-tier ones.  But you’ve still gotta pay attention to the numbers, especially if we get a big surprise from the Chinese trade data, Australian business sentiment data, or the ZEW data from Europe. 

With the trend in favor of the euro and ZEW data expected to improve once again, we’re looking for a long opportunity, and if Australian business sentiment data disappoints, we’ll look for bullish reversal patterns at the rising ‘lows’ pattern for a potential long entry setup.

If volatility picks up and broad risk sentiment leans in favor of risk assets, that could benefit the Aussie if there are no big surprises from the economic data. That scenario makes a break below the rising ‘lows’ in EUR/AUD a technical setup to watch as it could draw in short-term sellers looking to start a momentum move on the pair.