EUR/AUD 4H Chart: Channel Up

Since the beginning of last year's November the single European currency has been generally outperforming the Aussie, leading to emergence of the upward-sloping channel on the four-hour chart. Right now EUR/AUD is moving away from the demand area around 1.5376, which is mainly created by the long-term moving average and the up-trend support line. Judging by the technical indicators, the currency pair is likely to find support at 1.5604 and resume advancement towards 1.62, where it is supposed to encounter the weekly R2 and the up-trend resistance line. However, most of the traders expect the Euro to depreciate—66% of positions are currently short.