Daily Pivots: (S1) 0.7103; (P) 0.7132; (R1) 0.7149; More…
Intraday bias in AUD/USD remains neutral with focus on 0.7116 minor support. Break there will suggest completion of rebound from 0.6722. Intraday bias will then be turned back to the downside for retesting this low. On the upside, above 0.7235 will extend the rebound towards 0.7393 resistance. We’d expect strong resistance from there to limit upside.
In the bigger picture, the failure to sustain below 0.6826 (2016 low) suggests that the long term down trend is not ready to resume yet. But prior rejection by 55 week EMA indicates underlying medium term bearishness in the pair. Outlook will also stay bearish as long as 0.7393 resistance holds. On the downside, sustained break of 0.6826 will target 0.6008 (2008 low).
