EURAUD was rising in an ascending channel for the past two months since bouncing from a low of 1.4346. The pair peaked at 1.6074 before falling back down to the lower end of the channel and below the key 1.55 level. Prices are now testing this key level and bounced back above it early on Monday. The 1.5600 and the 1.5700 are the next resistances that the pair might witness during its bounce.
To the downside, the 50% Fibonacci level is important at 1.5128. This is the retracement of the rise from 1.3672 to 1.6582. Below this the daily Ichimoku cloud comes into view and this would also act as important support.
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