AUD/USD’s rebound from 0.6677 resumed last week and closed strongly at 0.6849. Initial bias stays on the upside this week for 0.6910 support turned resistance, and possibly above. At this point, such rebound is seen as a corrective move, thus, upside should be limited below 0.7082 resistance to bring fall resumption. On the downside, below 0.6807 minor support will turn intraday bias back to the downside for retesting 0.6677 low.
In the bigger picture, decline from 0.8135 (2018 high) is seen as resuming the long term down trend from 1.1079 (2011 high). Next target is 0.6008 (2008 low). On the upside, break of 0.7082 resistance is needed to be the first sign of medium term bottoming. Otherwise, outlook will remain bearish even in case of strong rebound.
In the longer term picture, prior rejection by 55 month EMA maintained long term bearishness in AUD/USD. That is, down trend from 1.1079 (2011 high) is still in progress. Sustained break of 0.6826 will target 0.6008 low and then 61.8% projection of 1.1079 to 0.6826 from 0.8135 at 0.5507.
