Daily Pivots: (S1) 1.4939; (P) 1.5006; (R1) 1.5050; More…
With 1.4901 minor support intact, further rise is expected in EUR/AUD to 1.5226 resistance. Break there will confirm resumption of whole rally from 1.3624. In such case, EUR/AUD would target 1.5455 fibonacci level next. On the downside, however, break of 1.4901 minor support will dampen this bullish view and turn bias back to the downside.
In the bigger picture, price actions from 1.6587 medium term top are viewed as a corrective pattern. Such correction should be completed at 1.3624 after defending 1.3671 key support. Rise from 1.3642 would extend to 61.8% retracement of 1.6587 to 1.3624 at 1.5455. Sustained break there will pave the way to retest 1.6587. However, sustained break of 1.4625 support will dampen this bullish view. In that case, we’ll assess the outlook later after looking at the structure and depth of the pull back.
