EUR/AUD Mid-Day Outlook

Daily Pivots: (S1) 1.5712; (P) 1.5756; (R1) 1.5817; More….

EUR/AUD’s rally continues and reaches as high as 1.5911 so far today. Break of 1.5886/8 resistance confirms resumption of rally from 1.5271. Further rise should be seen to 61.8% projection of 1.5271 to 1.5886 from 1.5601 at 1.5981 first. Break will target 100% projection at 1.6216, which is close to 1.6189 high. On the downside, below 1.5836 minor support will turn intraday bias neutral and bring consolidation first, before staging another rally.

In the bigger picture, the rebound from 1.5271 was somewhat weaker than expected. EUR/AUD. But there is no confirmation of completion. Break of 1.5888 will likely target 1.6189 and above to resume the medium term rally from 1.3624 (2017 low). This will be the favored case as long as 1.5271 support holds.