The common European currency declined by 1.10% against the Australian Dollar last week. The currency pair tested a support level formed by the 50– period simple moving average at 1.5965 during last week’s trading sessions.
All things being equal, bears could continue to drive the exchange rate lower during this week’s trading sessions. The potential target for sellers will be near the 1.5700 level.
However, the 50– period SMA near the 1.5960 area could still provide support for the EUR/AUD currency exchange rate this week.