Daily Pivots: (S1) 0.7211; (P) 0.7251; (R1) 0.7275; More…
Intraday bias in AUD/USD remains on the downside at this point. As noted before, rebound from 0.7105 is complete with three waves up to 0.7555, and fall from 0.8006 is probably ready to resume. Further fall should be seen to 0.7169 support first. Break will target 0.7105 and below. On the upside, break of 0.7369 resistance is needed to indicate short term bottoming. Otherwise, outlook will stay mildly bearish in case of recovery.
In the bigger picture, with 0.6991 cluster support (38.2% retracement of 0.5506 to 0.8006 at 0.7051) intact, we’re seeing price action from 0.8006 as a correction only. That is, up trend from 0.5506 low would resume after the correction completes. In that case, main focus will be 0.8135 key resistance (2018 high). Sustained break there will carry larger bullish implications. However, sustained break of 0.6991 will argue that the whole medium term trend has indeed reversed.
