Daily Pivots: (S1) 1.5767; (P) 1.5845; (R1) 1.5911; More….
EUR/AUD dips to 1.5783 but due to weak downside momentum, it quickly recovers. Intraday bias stays neutral first. Further decline is expected as long as 1.6154 resistance holds. Break of 1.5783 will extend the fall from 1.6765 to 1.5346 key support next.
In the bigger picture, the failure to sustain above 1.6587 key resistance (2015 high), argues that up trend from 1.1602 (2012 low), is not ready to resume yet. But still, as long as 1.5346 support holds, outlook will remain bullish. Break of 1.6765 will target 61.8% retracement of 2.1127 (2008 high) to 1.1602 at 1.7488 next. However, firm break of 1.5346 key support will indicate trend reversal, with bearish divergence condition in weekly MACD, and turn outlook bearish.