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Written by ActionForex.com |
Oct 20 11 08:31 GMT
AUD/USD Daily Outlook
Daily Pivots: (S1) 1.0167; (P) 1.0260; (R1) 1.0316; More
Intraday bias in AUD/USD remains neutral for the moment. On the downside, break of 1.0101 minor support will indicate that rebound from 0.9387 has completed and the decline from 1.1079 is possibly still in progress. In such case, intraday bias will be flipped back to the downside for retesting 0.9387. On the upside, above 1.0371 will resume rebound from 0.9387 towards 1.0764 resistance next.
In the bigger picture, AUD/USD drew strong support from 0.9404 despite a brief breach and the development retained bullish outlook in the long term. Whole up trend from 2008 low of 0.6008 is still in progress and price actions from 1.1079 should merely be a consolidation pattern. Having said that, though, we'd be cautious on reverse signal as AUD/USD enters into 1.0764/1079 resistance zone and there would be another near term decline before consolidation from 1.1079 finishes. But in any case, we'll stay bullish as long as 0.9387 support holds and favor an eventual upside break out.
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