EUR/AUD stayed in consolidation from 1.6368 last week and outlook is unchanged. Initial bias remains neutral this week first and further rise expected as long as 1.6074 minor support holds. On the upside, break of 1.6368 will extend the rise from 1.5905 to 1.6680/6786 resistance zone next. On the downside, however, break of 1.6074 minor support will turn bias back to the downside for retesting 1.5894 key support instead.
In the bigger picture, as long as 1.5894 support holds, outlook remains bullish. Firm break of 1.6786 will resume up trend from 1.1602 (2012 low). Next upside target is 61.8% retracement of 2.1127 (2008 high) to 1.1602 at 1.7488. However, sustained break of 1.5894 will have 55 week EMA (now at 1.6038) firmly taken out too. That should indicate medium term topping and target 1.5346 key support next.
In the longer term picture, the rise from 1.1602 long term bottom (2012 low) is still in progress for 61.8% retracement of 2.1127 to 1.1602 at 1.7488. This will remain the favored case as long as 1.5894 remains intact. However, firm break of 1.5894 will be an early sign of major topping and turn focus to 1.5346 key support for confirmation.
