EUR/AUD continues to rise inside the 4-hour Up Channel chart pattern which was recently identified by Autochartist. Autochartist rates the quality of this Up Channel at the 8-bar level – which reflects the significant Initial Trend (6 bars), strong Uniformity (8 bars) and higher Clarity (9 bars). EUR/AUD is expected to rise further inside this Up Channel – in line with the earlier breakout of the key resistance level shown below.
As can be seen from the daily EUR/AUD chart below, the price earlier broke the key resistance level 1.6180 (which stopped the previous sharp uptrend in March). This price level is acting as a strong support after it was broken. The proximity of this support level and the accelerating daily Momentum indicator increase the probability EUR/AUD will continue to rise inside this Up Channel.