EUR/AUD Daily Outlook

EUR/AUD Daily Outlook

Daily Pivots: (S1) 1.4304; (P) 1.4369; (R1) 1.4421; More.....

Intraday bias in EUR/AUD remains neutral for the moment. Current development argues that corrective pull back from 1.5029 might be finished at 1.4050. Break of 1.4529 should confirm this case and will bring stronger rally back to retest 1.5029. Below 1.4264 minor support will turn bias to the downside and would possibly bring a new low below 1.4050. But in that case, we'd expect strong support from 38.2% retracement 1.2218 to 1.5029 at 1.3955 to contain downside and bring rebound.

In the bigger picture, medium term rally from 1.1602 is so far viewed as a corrective move. Some resistance was seen below 38.2% retracement of 2.1127 to 1.1602 at 1.5241 and the crossed formed a top at 1.5029. Judging from the structure of the fall from 1.5029, the cross is merely in sideway consolidation and the rise from 1.1602 is in favor to resume later. We'd prefer this bullish view as long as 38.2% retracement of 1.2218 to 1.5029 at 1.3955 holds. Sustained break of 1.3955 will argue that 1.5241 fibo resistance was already failed and the whole rebound from 1.1602 has possibly finished.