The EUR/AUD currency pair has been trading in an upward swing since the middle of April after it reversed north from the lower boundary of a medium-term ascending channel pattern at 1.5712.
The exchange rate breached a support cluster formed by the 50-hour simple moving average and the weekly pivot point at 1.6177 during Friday’s trading session. From a theoretical point of view, it is likely that the currency pair continues moving south.
However, the currency exchange rate has to surpass a support cluster formed by the monthly R2, the weekly S1 and the 100-hour SMA at 1.6116.
If the cluster holds, a reversal north could occur in the nearest further.
