EUR/AUD recovered after drawing help from 1.6450, however upside continues to be capped by 1.6606 minor resistance. Preliminary bias stays impartial this week first. On the upside, agency break of 1.6606 will retain close to time period bullishness and produce retest of 1.6742. Break there’ll resume bigger rise from 1.6127. On the draw back, nonetheless, decisive break of 1.6450 help will argue that complete rebound from 1.6127 has accomplished with three waves as much as 1.6742 already. Close to time period outlook shall be turned bearish for 1.6127 once more.
Within the larger image, fall from 1.7062 medium time period high is seen as a correction to the up development from 1.4281 (2022 low). Break of 1.6844 resistance will argue that this up development is able to resume via 1.7062 excessive. In case of one other fall, robust help ought to be seen round 1.5846 and 38.2% retracement of 1.4281 to 1.7062 at 1.6000 to deliver rebound.
In the long term image, value actions from 1.9799 (2020 excessive) are seen as a long run decline on the similar scale because the rise from 1.1602 (2012 low). Rebound from 1.4281 is seen because the second leg. So long as 55 M EMA (now at 1.5932) holds, this second leg may nonetheless lengthen greater. Nevertheless, sustained buying and selling under 55 M EMA will open up the bearish case for extending the decline via 1.4281 low.
