AUD/USD Elliott Wave
Since our last analyses the AUDUSD pair has been trading downwards, corrective wave [b] (coloured black) of the bigger wave (A) (coloured green) has been developing. During Tuesday's Asian and European sessions, we could observe strong ascending movement from 0.9351 towards the 0.9446 level and we can consider this move as the end of the corrective wave [a] (coloured black). Therefore, during the New York session this commodity currency did not manage to hold this level and the price retraced back to 0.9405. At the moment, the AUD/USD pair is trading around 0.9399, and we are expecting to see one more push lower before the price turns higher in the [c] wave (coloured black). 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 0.9528 (100% of wave [a]). To reduce the risk, we can use support point at 0.9300 as stop loss.
Support and Resistance
(S3) 0.9277 (S2) 0.9315 (S1) 0.9371 (PP) 0.9409 (R1) 0.9465 (R2) 0.9503 (R3) 0.9559
Trading forecast
Proceeding from Elliot Wave rules today, the trend is expected to begin the upwards movements. That is why long positions at 0.9360 with stop loss at 0.9300 and take profit at 0.9528 are recommended .
