Daily Pivots: (S1) 0.7579; (P) 0.7663; (R1) 0.7709; More…
AUD/USD’s correction from 0.8006 extends lower today. Intraday bias in back on the downside for 100% projection of 0.8006 to 0.7620 from 0.7848 at 0.7462. We’ll look for strong support from there to bring rebound. However, note that AUD/USD has also completed a head and should top (ls: 0.7819; h: 0.8006; rs: 0.7848). Firm break of 0.7462 will argue that it’s correcting whole up trend from 0.5506. For now, risk will stay on the downside as long as 0.7848 resistance holds, in case of recovery.
In the bigger picture, whole down trend from 1.1079 (2001 high) should have completed at 0.5506 (2020 low) already. Rise from 0.5506 could either be the start of a long term up trend, or a corrective rise. Reactions to 0.8135 key resistance will reveal which case it is. But in any case, medium term rally is expected to continue as long as 0.7413 resistance turned support holds.
