Daily Pivots: (S1) 1.6060; (P) 1.6103; (R1) 1.6142; More…
Intraday bias in EUR/AUD remains neutral at this point. With 1.6178 minor resistance intact, further decline is expected. On the downside, decisive break of 1.6033 will resume larger down trend from 1.9799. Next near term target is 100% projection of 1.6872 to 1.6122 from 1.6420 at 1.5984. On the upside, firm break of 1.6178 minor resistance will suggest short term bottoming, after drawing support from 1.6033 low. Intraday bias will be turned back to the upside for 1.6420 resistance first.
In the bigger picture, price action from 1.9799 are seen as developing into a corrective pattern. The question is whether it’s a sideway pattern or a deep correction. On the downside, sustained break of 1.6033 will suggest it’s the latter case and target 61.8% retracement of 1.1602 (2012 low) to 1.9799 at 1.4733. On the upside, break of 1.6827 resistance will favor the former case and bring stronger rebound.
