Daily Pivots: (S1) 0.6892; (P) 0.6904; (R1) 0.6914; More…
AUD/USD’s fall extends to as low as 0.6869 so far and intraday bias remains on the downside for 0.6831 low. The three wave corrective structure from 0.6831 to 0.7082 suggests that larger decline from 0.7295 is in progress and is possibly resuming. Break of 0.6831 will confirm this bearish case and target 0.6722 low next. On the upside, break of 0.6909 minor resistance will turn intraday bias neutral again.
In the bigger picture, with 0.7393 key resistance intact, medium term outlook remains bearish. The decline from 0.8135 (2018 high) is seen as resuming long term down trend from 1.1079 (2011 high). Decisive break of 0.6826 (2016 low) will confirm this bearish view and resume the down trend to 0.6008 (2008 low). However, firm break of 0.7393 will argue that fall from 0.8135 has completed. And corrective pattern from 0.6826 has started the third leg, targeting 0.8135 again.
