The EUR/AUD Daily Chart has printed a perfect Pin Bar at a fairly strong level of support. Yesterday's price action saw the pair reach down below the 61.8% retracement level for the last leg of the recent Bullish run, and closed above the 50% level at 1.2575. While there are minor resistance zones to the upside, there is room for this pair to move higher, with the next real solid resistance level at 1.2958. This leaves at least a 350 pip zone to fill if the pair resumes its recent Bullish trend. Watch out for resistance at 1.2634, 1.2662 & 1.2706 on the way to the most recent high at 1.2823 and beyond. If the pair falls below today's low however, look for support at 1.2500, 1.2450 & 1.2377. 1.2660 is the key for this pair to continue higher, resistance is strong at this level but its resistive strength weakens above this level and it becomes support. Price is falling now early in the Asian session, so if the Asian high is broken, this could be a great area to enter of add to your current long positions. I am bullish on this pair above 1.2615, but bearish as long as price is below 1.2550, and especially if price breaks the daily low at 1.2506.
Happy Trading!