AUD/USD Mid-Day Outlook

Daily Pivots: (S1) 0.7357; (P) 0.7383; (R1) 0.7423; More…

AUD/USD’s rebound ended very quickly and drops through 0.7342 minor support. Intraday bias is back on the downside for 0.7309 low. Break of 0.7309 and sustained trading below 0.7328 cluster support (61.8% retracement of 0.6826 to 0.8135 at 0.7326) will extend the fall from 0.8135 to 0.7158 support next. On the upside, in case of another rise, upside should be limited below 0.7676 resistance to bring larger fall resumption eventually.

In the bigger picture, medium term rebound from 0.6826 is seen as a corrective move that should be completed at 0.8135. Deeper decline would be seen back to retest 0.6826 low. This will now remain the favored case as long as 0.7676 resistance holds.