Daily Pivots: (S1) 1.6608; (P) 1.6696; (R1) 1.6751; More…
A temporary top is formed at 1.6827 in EUR/AUD with the current retreat. Intraday bias is turned neutral for some consolidations first. Downside of retreat should be contained above 1.6485 support to bring another rally. Current rise is seen as at least a correction to fall from 1.9799. Above 1.6872 will turn bias back to the upside for 38.2% retracement of 1.9799 to 1.6033 at 1.7472.
In the bigger picture, EUR/AUD is now back above 55 day EMA (now at 1.6463) with current rebound. The development argues that price actions form 1.9799 might be developing into a sideway pattern only. That is, medium term outlook is just neutral, and up trend from 1.1602 (2012 low) could resume at a later stage. On the downside, though, sustained trading below 55 week EMA would revive medium term bearishness for 61.8% retracement of 1.1602 to 1.9799 at 1.4733.
