A four-month descending channel pattern has guided the common European currency lower against the Australian Dollar. This decline began after the currency pair made a U-turn from the upper boundary of the medium-term descending channel at 1.6369 on January 3.
The exchange rate breached the 50-hour simple moving average at 1.5814 during the morning hours of today’s trading session.
By and large, it is likely that the currency exchange rate will aim for a resistance cluster at 1.5905 within this week’s trading sessions.
Although, technical indicators on both the daily and the weekly time frames suggest that the EUR/AUD pair will continue its decline in the shorter term.
