• EURAUD reversed from resistance area
• Likely to fall to support level 1,6100
EURAUD currency pair recently reversed down from the resistance area located between the major resistance level 1,6400 (former multi-month high from December) and the upper daily Bollinger Band. The downward reversal from this resistance zone created the daily Japanese candlesticks reversal pattern Bearish Engulfing, which stopped the previous sharp upward impulse wave 5.
Given the strength of the aforementioned resistance area and clear pro-AUD sentiment seen across the currency markets today, EURAUD currency pair can be expected to be expected to fall further toward the next support level 1,6100 (former resistance from June).