The common European currency has appreciated substantially against the Australian Dollar since mid-August. During this period, the currency pair gained about 574 base points and reached its highest position since March 28 at the 1.6175 regions.
This bullish momentum has been bounded by an ascending channel and the 50-hour simple moving average. The pair hindered near its upper boundary at the time of this analysis.
The long-term technical sentiment is located in the overbought zone. Thus it is likely that a new wave down starts this week. This prediction will likewise be strengthened if the pair fails to reach the upper boundary of an ascending channel during the following sessions
