EUR/AUD Price Forecast: Climbs and challenges head-and-shoulders neckline

EUR/AUD trades at 1.6209, marking a second consecutive day of gains, with a daily high of 1.6244.

Resistance levels: 50-day SMA at 1.6261, followed by 1.6300, and the 100-day SMA at 1.6365.

Support levels: 1.6200, 1.6161 (Nov 7 low), and key psychological level at 1.6100.

The EUR/AUD advanced for the second straight day, as Trump’s threatening to impose tariffs on China was a headwind for the Aussie Dollar. Therefore, the cross-pair rose over 0.50% and traded at 1.6209 at the time of writing.

EUR/AUD Price Forecast: Technical outlook

The EUR/AUD’s downtrend remains intact, with the pair registering a successive series of lower highs and lower lows. Even though the pair hit a daily high of 1.6244, near the day Simple Moving Average (SMA) at 1.6261, sellers stepped in, dragging prices below the head-and-shoulders neckline.

If EUR/AUD climbs past the 50-day SMA, the next resistance would be the 1.6300 figure. A breach of the latter will expose the 100-day SMA at 1.6365, followed by the 200-day SMA at 1.6373.