Trade of the Day: EUR/AUD
EUR/AUD continues to fall inside the 4-hour Rising Wedge chart pattern, which was recently identified by Autochartist. Autochartist rates the quality of this Rising Wedge at the 4-bar level – which is the result of the slow Initial Trend (1 bar), significant Uniformity (7 bars) and above-average Clarity (6 bars). EUR/AUD is expected to fall further inside this Rising Wedge.
As can be seen from the weekly EUR/AUD chart below – the pair earlier reversed down from the major resistance area located between the long-term resistance level 1.6200 (which has been reversing the price from the end of 2021) and the upper weekly Bollinger Band. The proximity of this resistance area and the overbought weekly Stochastic increase the probability EUR/AUD will continue to fall inside this Rising Wedge.