EUR/AUD Technical Analysis: The 1.5940 trendline resistance grabs market attention

• The EUR/AUD pair gradually rose to intraday high of 1.5937 after the RBA Governor’s speech triggered across the board Aussie weakness on Wednesday. However, the pair is yet to surpass four-week old descending resistance-line, at 1.5940 in order to justify its strength.
• Should prices rally beyond 1.5940, the 1.6000 could appear on the buyers’ radar as next challenge whereas 1.6080 and the 1.6160 might be targeted afterwards.
• Alternatively, pair’s failure to surpass immediate trend-line barrier can drag it back to 1.1.5780 prior to highlighting the 1.5730-25 horizontal-support covering recent lows.
• Given the pair’s decline beneath the 1.5725, the 1.5670 and the 1.5585-80 could become sellers’ favorites.
• It should also be noted that the 14-bar relative strength index (RSI) is near to overbought levels, indicating tough ride on the upside.

EUR/AUD 4-hour chart