The common European currency has been trading in an eight-month ascending channel against the Australian Dollar after it hit the lower boundary of a dominant channel.
After reaching the 50.00% Fibonacci retracement level, the Euro began to surge, however, the 200-hour simple moving average was pressuring the currency pair further south. This retracement can be measured by connecting the January low at 1.5264 and the March 7 high at 1.5980.
Everything being equal, the currency exchange rate is likely to decline further as technical indicators favour bears to continue their dominance.
