• EURAUD falling inside medium-term correction (4)
• Likely to fall to support level 1.5600
EURAUD currency pair continues to fall inside the medium-term correction (4) which started recently from the key resistance level 1.6146 (which has been reversing the pair from the end of July) – strengthened by the upper daily Bollinger Band. The downward reversal from the resistance level 1.6146 created the daily candlesticks reversal pattern Bearish Engulfing.
Given the clear daily downtrend and the rising euro pessimism, EURAUD currency pair can be expected to fall further toward the next support level 1.5600 (former resistance from November).