EUR/AUD retesting fresh half-yearly lows

FXStreet (Mumbai) - The shared currency was battered by the Australian dollar in the European session, knocking off EUR/AUD to fresh six month lows at 1.3798 levels, mainly driven by strengthening Australian dollar.

EUR/AUD slipped from 1.3878 levels

Currently, the EUR/AUD cross edged lower by -0.54% and trades at 1.3810, inching towards fresh six month lows posted at 1.3798 levels. EUR/AUD is likely to test half-yearly largely on the back of a stronger
Australian dollar versus its US counterpart, rallying to the tune of 1.09%. The Aussie continues to ride higher on the wave of improved labour market conditions in Australia.

The jobless rate ticked down to 6.3% in February, from a 12-year high of 6.4% a month earlier, while the Australian economy added a net 15,600 jobs in February as expected, partly reversing January's 12,200 net job loss.

On the other hand, the shared currency holds gains on a weaker US dollar across the board. At the moment, the AUD/USD pair higher by 1.09% at 0.7677. While EUR/USD trades higher by 0.53% at 1.0604.

EUR/AUD Technical Levels

The pair has an immediate resistance at 1.3892 levels, above which gains could be extended to 1.3955 levels. On the flip side, support is seen at 1.3798 levels, from here it to 1.3700 levels.