Grammatically it should be the elder when we are talking of two, and eldest when we talk of three or more.
However, some famous grammarian, and I cannot remember if it was Fowler or not, states that if you have only two children, sisters, brothers etc. you can correctly referred to the older of the two as the eldest.
The reasoning is not given, but perhaps this usage dates from the times when families were larger and children who had died in childhood were still counted when relatives enumerated the family.
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