Daily Pivots: (S1) 0.6455; (P) 0.6467; (R1) 0.6485; More...
AUD/USD’s recovery from 0.6418 extends higher today but stays below 0.6528 resistance. Intraday bias remains neutral and further decline is in favor. Fall from 0.6624 short term top is seen as at least correcting the rally from 0.5913. Below 0.6418 will target 38.2% retracement of 0.5913 to 0.6624 at 0.6352. Nevertheless, break of 0.6528 will dampen this bearish case, and bring retest of 0.6624 high instead.
In the bigger picture, there is no clear sign that down trend from 0.8006 (2021 high) has completed. Rebound from 0.5913 is seen as a corrective move. While stronger rally cannot be ruled out, outlook will remain bearish as long as 38.2% retracement of 0.8006 to 0.5913 at 0.6713 holds. Nevertheless, considering bullish convergence condition in W MACD, even in case of another fall through 0.5913, downside should be contained above 0.5506 (2020 low).
