Daily Pivots: (S1) 0.7672; (P) 0.7708; (R1) 0.7729; More…
AUD/USD continues to stay in consolidation above 0.7671 temporary low and intraday bias remains neutral. Near term outlook stays bearish with 0.7915 resistance intact and fall from 0.8135 is expected to extend. Break of 0.7671 will turn bias to the downside for 0.7500 key support level next. However, break of 0.7915 resistance will indicate near term reversal and turn focus back to 0.8135 high instead.
In the bigger picture, medium term rebound from 0.6826 is seen as a corrective move. It might still extend higher but we’d expect strong resistance from 38.2% retracement of 1.1079 to 0.6826 at 0.8451 to limit upside to bring long term down trend resumption. On the downside, break of 0.7500 support will now be an important signal that such corrective rebound is completed. In that case, AUD/USD would be heading back to 0.6826 low in medium term.
