AUD/USD Elliott Wave
Since our last analysis the AUD/USD pair has been trading downwards, just like we expected, corrective wave B (coloured blue) of the bigger wave (B) (coloured green) has finished its development. During the Friday's Asian session we could observe ascending movement from 1.0288 towards 1.0336 level and we can consider this movement as the end of the sub-waves B of the B wave (coloured blue). Therefore, during the European and New York sessions this major currency did not manage to hold this levels and the price has dropped to the new daily low at 1.0262 level. We can consider this movement as the end of the B wave (coloured blue). At the moment the AUD/USD pair is trading around 1.0336 level and we expect to see the price around 1.0400 today. In accordance with our wave rules and taking into account that wave C should retrace 100% of wave A, we can define the potential targets with measuring wave A with take profit at 1.0399 (100% of wave A). To reduce the risk, we can use invalidation point at 1.0300 level as stop loss.
Support and Resistance
(S3) 1.0177 (S2) 1.0219 (S1) 1.0250 (PP) 1.0292 (R1) 1.0323 (R2) 1.0365 (R3) 1.0396
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movement. That is why long positions at level 1.0330 with stop loss at 1.0300 and take profit at 1.0399 are recommended.
