The common European currency has depreciated about 1.20% in values against the Australian Dollar since February 11. The currency pair tested the lower boundary of a dominant ascending channel at 1.5819 during Friday’s trading session.
Given that the exchange rate is located near the bottom border of the dominant ascending channel, a breakout is likely to occur within this session.
If this breakout occurs, the next target for the currency exchange rate will be at a swing low of 1.5725.
On the other hand, if the support level formed by the dominant channel holds, a surge towards a resistance cluster at 1.5952 could be expected during this week’s trading sessions.
