BofA sees AUD strength continuing as EUR/AUD downtrend has room to fall

Bank of America (BofA) anticipates continued strength for the Australian Dollar (AUD), highlighting that the downtrend in EUR/AUD has room to continue. This trend is supported by the stability of the Australian economy, interest rate trends, and the relative strength of AUD against other currencies. In the current market environment, particularly with the economic outlook for the Eurozone being uncertain, AUD is likely to maintain its strength against the Euro. BofA analysts point to solid Australian economic indicators and the current policy interest rate scenario as supportive factors for AUD. Additionally, global risk-off movements are seen providing support to the AUD. Investors can focus on a bullish stance for AUD and consider trades based on a short-term adjustment in EUR/AUD. It is advisable to pay attention to upcoming Australian economic indicators and their results when formulating trading strategies.