Daily Pivots: (S1) 0.7192; (P) 0.7240; (R1) 0.7335; More….
AUD/USD rises to as high as 0.7289 so far today. The break of 0.7243 resistance suggests that consolidation pattern from 0.7413 has completed at 0.6991. Intraday bias is now on the upside for retesting 0.7413 high. Firm break there will resume larger rise from 0.5506. On the downside, break of 0.7144 minor support will probably extend the consolidation pattern with another fall instead.
In the bigger picture, while rebound from 0.5506 was strong, there is not enough evidence to confirm bullish trend reversal yet. That is, it could be just a correction inside the long term down trend. Sustained trading back below 55 week EMA (now at 0.6927) will favor the bearish case and argue that the rebound has completed. Focus will be turned back to 0.5506 low. On the upside, break of 0.7413 will extend the rise from 0.5506 to 38.2% retracement of 1.1079 (2011 high) to 0.5506 (2020 low) at 0.7635.
