Daily Pivots: (S1) 0.7226; (P) 0.7263; (R1) 0.7314; More…
AUD/USD’s rally is still in progress and intraday bias stays on the upside, with focus on 0.7314 key resistance. As noted before, a medium term bottom might be in place at 0.7020 already. Decisive break of 0.7314 should confirm this bullish case. Next target will be 38.2% retracement of 0.8135 to 0.7020 at 0.7446 next. However, on the downside, break of 0.7182 minor support will suggest that the rebound is completed. In that case, intraday bias will turn bias back to the downside for 0.7020 low.
In the bigger picture, as long as 0.7314 resistance holds, fall from 0.8135 is tentatively treated as resuming long term down trend from 1.1079 (2011 high). Decisive break of 0.6826 will target 0.6008 key support next (2008 low). However, firm break of 0.7314 will suggest that whole decline from 0.8135 has completed. And, the corrective pattern from 0.6826 (2016 low) is extending with another rising leg towards 0.8135 before completion.
