Daily Pivots: (S1) 0.7137; (P) 0.7153; (R1) 0.7184; More…
Intraday bias in AUD/USD remains neutral first as range trading continues. On the upside, break of 0.7209 will extend the rebound from 0.7005, and turn bias to the upside for retesting 0.7413 high. On he downside, break of 0.7095 will likely resume the corrective fall from 0.7413 through 0.7005, to 38.2% retracement of 0.5506 to 0.7413 at 0.6685.
In the bigger picture, while rebound from 0.5506 was strong, there is not enough evidence to confirm bullish trend reversal yet. That is, it could be just a corrective inside the long term up trend. Sustained trading back below 55 week EMA (now at 0.6908) will favor the bearish case and argue that the rebound has completed. Focus will be turned back to 0.5506 low. On the upside, break of 0.7413 will extend the rise from 0.5506 to 38.2% retracement of 1.1079 (2011 high) to 0.5506 (2020 low) at 0.7635.
