Daily Pivots: (S1) 1.5569; (P) 1.5644; (R1) 1.5687; More…
EUR/AUD’s break of 1.5585 minor resistance suggests that recovery from 1.5354 is complete at 1.5743. Rejection by 55 day EMA also keeps near term outlook bearish. Intraday bias is back on the downside to extend the fall from 1.6434 through 1.5354 to 1.5250 low next. For now, near term outlook will remain bearish as long as 1.5743 resistance holds, in case of recovery.
In the bigger picture, the down trend from 1.9799 (2020 high) is in progress. Firm break of 1.5250 low will confirm resumption and target 61.8% retracement of 1.1602 (2012 low) to 1.9799 at 1.4733. Sustained break there could bring more downside acceleration to 61.8% projection of 1.9799 to 1.5250 from 1.6434 at 1.3623. In any case, break of 1.6434 resistance is needed to signal medium term bottoming, or outlook will stay bearish.
