The AUD/USD pair is forming a potential impulse wave C of the 4th order of the downside medium-term trend from 1.0600.Break of wave A top 0.9928 will prove this wave. In the meantime, nearest supports will be calculated according to the correction net 0.9928-1.0600 and extension net 1.1079-0.9928-1.0600.
Closest supports:
- 1.0624 = correction 50%
- 1.0185 = 61.8%
- 0.9889 = extension 61.8%
If the upside movement resumes the nearest support levels will be provided by the correction nets 1.1079-0.9928, as well as extension nets 0.9928-1.0600-1.0320.
Resistances:
- 1.0639= correction 61.8%
- 1.0735 = extension 61.8%
Deal direction – SELL
Wave levels (annotation):
1st order – dotted line
2nd, 3rd order and higher – line width 1, 2 etc.
The same scheme is employed for Fibonacci nets and line regression channels
