Daily Pivots: (S1) 0.7693; (P) 0.7753; (R1) 0.7787; More…
AUD/USD faced strong rejection from near term falling channel resistance. Break of 0.7743 indicates that rebound from 0.7642 has completed at 0.7812. And larger fall from 0.8135 might be resuming. Intraday bias is turned back to the downside for 0.7642 first. Break will target 0.7500 key support level.
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.
