Daily Pivots: (S1) 1.6873; (P) 1.7035; (R1) 1.7126; More…
EUR/AUD retreated after hitting 1.7194 and intraday bias is turned neutral first. Rebound from 1.6538 short term bottom is still in favor to extend higher. Above 1.7194 will target 1.7321 resistance. Firm break there should bring stronger rebound to 38.2% retracement of 1.9799 to 1.6538 at 1.7748 next. However, sustained break of 1.6538 will resume the fall from 1.9799 and carries larger bearish implications.
In the bigger picture, while the pull back from 1.9799 is deep, there is no clear sign of trend reversal yet. EUR/AUD is still holding on to 1.6597 (2015 high) cluster support, with 38.2% retracement of 1.1602 to 1.9799 at 1.6668. Larger rise from 1.1602 (2012 low) is in progress and would resume at a later stage. However, sustained break of 1.6597 suggest bearish reversal.
