FxWirePro: EUR/AUD bears intensify after breach below 7-DMA with bearish crossover, 4H charts send early signals of prices to slide through sloping channel

On 4H chart, after breaking major supports at DMAs, 1.4509 and 1.4455 levels, bear streaks have been intensified. We could foresee more downswings especially after bearish DMA crossover with bearish convergence in leading oscillators.

On daily plotting, the upswings after spike above falling wedge resistance made the equidistant move and currently breaks support after rejecting stiff resistance at 1.4586. You’ve seen price pattern has shown a triple top at the resistance of 1.4509.

Both leading and lagging indicators indicate bearish momentum by converging downwards to these price dips on monthly charts.

RSI: Currently, RSI (14) on daily could be a slightly deceptive indication on weekly but clearly converging downwards to the prevailing price dips on daily and 4H timeframes that signal the selling pressures.

Stochastic: This leading oscillator has approached oversold territory but no convincing %k crossover. But daily stochs evidence %D crossover right from overbought zones that conforms to these price dips with intensified selling momentum.

On a broader perspective, the prices slide in sloping channel even on weekly terms, constantly sensing resistance at 21EMA & channel resistance, the break above & sustenance may drag rallies again up to 1.4757 or 1.49 levels but seem unlikely.

Well, the bearish signal from 4H charting is deemed as the early signals of the further bearish streaks. While overall the major downtrend of this pair remains intact, and it is likely to extend further.