EUR/AUD 4H Chart: Channel Down

Following a brief upward correction in the overall bearish market EUR/AUD started to trade between two parallel falling trend-lines. Accordingly, a current rally from 1.4360 should soon come to an end near 1.4626, a cluster of resistances created by the weekly R2, 200-period SMA and down-trend line. Then the currency couple will be in a good position for another pronounced leg down. And even though the technical studies are not supportive of a decline by being largely mixed, the distribution between the open positions is notably skewed in favour of the shorts. At the moment the bears constitute 67% of the SWFX market.