AUDUSD Elliott wave
During the last week the AUDUSD pair was trading upwards, just like we expected, corrective wave .a (coloured green) of the Y wave developed. During the Friday's Asian and European sessions we could observe ascending movement from 0.9132 towards the 0.9187 level. Therefore, during the early New York session this major currency continued trading in a bullish mood and we could see the price reaching a new high at the 0.9213 level. Today, the AUDUSD pair has found resistance around the 0.9232 level and we are expecting to see retracement in the .b wave that should be in place right now. In accordance with our wave rules and taking into account that wave B should retrace 61.8% of wave A, we can define the potential targets with measuring wave A with take profit at 0.9126 (61.8% of wave A). To reduce the risk, we can use support point at the 0.9230 level as stop loss.
Support and Resistance
(S3) 0.9042 (S2) 0.9083 (S1) 0.9132 (PP) 0.9173 (R1) 0.9222 (R2) 0.9263 (R3) 0.9312
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin downward movement. That is why short positions at the level of 0.9200 with stop loss at 0.9230 and take profit at 0.9126 are recommended.
