Daily Pivots: (S1) 0.7078; (P) 0.7123; (R1) 0.7157; More…
AUD/USD retreated sharply after hitting 0.7168 and intraday bias is turned neutral first. Another rise is in favor as long as 0.7056 minor support holds. Above 0.7168 will target 0.7295 resistance. Break will resume whole rebound from 0.6722. On the downside, though, break of 0.7056 will turn bias back to the downside for 0.7003 instead.
In the bigger picture, as long as 0.7393 resistance holds, we’d treat fall from 0.8135 as resuming long term down trend from 1.1079 (2011 high). Decisive break of 0.6826 (2016 low) will confirm this bearish view and resume the down trend to 0.6008 (2008 low). However, firm break of 0.7393 will argue that fall from 0.8135 has completed. And corrective pattern from 0.6826 has started the third leg, targeting 0.8135 again.
