Over the past 2 years, the Australian currency has been strengthening. After the minimum price indicators over the past 8 years, the pair's exchange rate managed to win back more than 11 price figures. Above the current values, there are several powerful resistance levels, forming a reversal zone. In a high degree of probability from this site, you can wait for the oncoming traffic, at least a deep correction.
The scale approximation shows the last, incomplete wave. This zigzag has a downward course. In terms of its potential, it claims to be the place of a reversal structure. In its structure, the middle, corrective part (B) is nearing completion.
Today, the end of the pair's upward inter-annual course is expected to end. In the area of the resistance zone, the formation of a turn and the beginning of a decline are likely. The active movement of the price downwards makes sense to wait closer to the end of the day.
The boundaries of the resistance zones:
- 0.7970 / 0.7800
The boundaries of the support zones:
- 0.7880 / 50
Explanations to the figures: For simplified wave analysis, a simple type of wave is used that combines 3 parts (A; B; C). Of such waves, all kinds of correction are composed and most of the impulses. On each considered time-frame the last, incomplete wave is analyzed.
The zones marked on the graphs are indicated by the calculation areas in which the probability of a change in the direction of motion is significantly increased. Arrows indicate the wave counting according to the technique used by the author. The solid background of the arrows indicates the structure formed, the dotted one indicates the expected wave motion.
Note: The wave algorithm does not take into account the duration of the tool movements in time. The forecast is not a trading signal! To conduct a transaction, you need to confirm the signals used by your trading systems.
