Daily Pivots: (S1) 1.6112; (P) 1.6160; (R1) 1.6185; More…
EUR/AUD’s pull back from 1.6448 is in progress and could extend lower. We’d still expect downside to be contained above 1.6052 support to bring rise resumption. On the upside, above 1.6259 minor resistance will turn bias to the upside for 1.6448 first. Break of 1.6448 will resume the rally from 1.5683 and target 1.6765 high. However, firm break of 1.6052 support will near term outlook bearish for 1.5683 support again.
In the bigger picture, as long as 1.5346 support holds, outlook will still remain bullish. Up trend from 1.1602 (2012 low) is expected to resume sooner or later. Break of 1.6765 will target 61.8% retracement of 2.1127 (2008 high) to 1.1602 at 1.7488 next. However, firm break of 1.5346 key support will indicate trend reversal and turn outlook bearish.
