Flash: EUR/AUD should extend to 1.38/36 - Westpac

FXstreet.com (Barcelona) - The overtretched rally in EUR/AUD may soon be running out of steam, notes Sean Callow, FX Strategist at Westpac: "A dovish ECB should help AUD extend its recent gains versus EUR, towards 1.3800/20, perhaps even the high 1.35-1.36, but by early August, the RBA rate cut we expect should hurt AUD once more, threatening a return to the 1.43 area, especially if the ECB takes its time to agree on fresh easing measures."