Daily Pivots: (S1) 1.7717; (P) 1.7794; (R1) 1.7856; More…
Range trading continues in EUR/AUD and intraday bias remains neutral. .Outlook is mixed. On the downside, break of 1.7561 support will revive the bearish case that corrective pattern from 1.8554 is in the third leg, and target 1.7245 support. On the upside, though, above 1.7895 will resume the rebound from 1.7561 to 1.8160 resistance.
In the bigger picture, price actions from 1.8554 medium term top are seen as a corrective pattern. Sustained break of 55 W EMA (now at 1.7426) will suggest that it’s correcting the whole rally from 1.4281 (2022 low). In this case, deeper decline would be seen to 38.2% retracement of 1.4281 to 1.8554 at 1.6922. Nevertheless, strong rebound from 55 W EMA will likely bring resumption of the up trend sooner.
