AUD/USD’s break of 0.6977 support turned resistance confirms short term bottoming at 0.6864, ahead of 0.6832 key structural support. Intraday bias is back on the upside for 38.2% retracement of 0.7277 to 0.6864 at 0.7022. Sustained break there will target 61.8% retracement at 0.7119 next. On the downside, however, below 0.6912 minor support will turn bias back to the downside for 0.6864 low.
In the bigger picture, considering bearish divergence condition in D MACD, a medium term top could be formed at 0.7277 after failing to sustain above 61.8% retracement of 0.8006 (2021 high) to 0.5913 (2024 low) at 0.7206. Deeper fall could be seen to 38.2% retracement of 0.5913 to 0.7277 at 0.6756 as a correction. But strong support should be seen there to bring rebound. Consolidations would continue below 0.7277 for a while.
