Daily Pivots: (S1) 1.6042; (P) 1.6094; (R1) 1.6129; More…
EUR/AUD’s break of 1.6178 resistance suggests short term bottoming at 1.6006, after failing to sustain below 1.6033 low. Intraday bias is turned back to the upside for 1.6420 resistance first. Firm break there will extend the consolidation from 1.6033 with another rising leg, back to 1.6827 resistance. on the downside, sustained break of 1.6033 low will resume whole down trend from 1.9799.
In the bigger picture, price action from 1.9799 are seen as developing into a corrective pattern. The question is whether it’s a sideway pattern or a deep correction. On the downside, sustained break of 1.6033 will suggest it’s the latter case and target 61.8% retracement of 1.1602 (2012 low) to 1.9799 at 1.4733. On the upside, break of 1.6827 resistance will favor the former case and bring stronger rebound.
