The common European currency has appreciated about 1.62% in value against the Australian Dollar. The currency pair breached a resistance cluster formed by the combination of the weekly and the monthly PPs at 1.6029 during the morning hours of Monday’s trading session.
Given that the exchange rate is trading near the upper band of a descending channel pattern at 1.6041, a breakout could be expected within this session.
If this breakout occurs, the EUR/AUD currency pair will continue its bullish sentiment during this week’s trading sessions.
However, if the descending channel holds, a decline towards the 50-hour simple moving average could follow.
