Trade Patterns EUR/CAD, EUR/AUD
|EUR/CAD 4H Chart: Reaches 61.80% fibo
The Euro has been guided by a long and short-term ascending channel against the Canadian Dollar. The exchange rate bounced off the lower boundary of a dominant channel on September 22 and has since remained bullish.
After hitting the 61.80% Fibonacci retracement level, the EUR/CAD made a U-turn north. However, the 55-hour simple moving average was restricting the pair from making a further gain. This retracement can be measured by connecting the low at 1.5523 and the high at 1.6127.
Technical indicators demonstrate that the currency exchange rate could continue to trade upward during the following trading sessions. Nevertheless, traders are advised wait for the pair to breach the aforementioned SMA.
EUR/AUD 4H Chart: Restricted by SMA
The common European currency has been trading in an eight-month ascending channel against the Australian Dollar after it hit the lower boundary of a dominant channel.
After reaching the 50.00% Fibonacci retracement level, the Euro began to surge, however, the 200-hour simple moving average was pressuring the currency pair further south. This retracement can be measured by connecting the January low at 1.5264 and the March 7 high at 1.5980.
Everything being equal, the currency exchange rate is likely to decline further as technical indicators favour bears to continue their dominance.
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