AUD/USD Elliott Wave
Since our last analyses the AUD/USD pair was trading downwards like we expected, impulsive 5 wave (coloured blue) of the bigger (1) wave (coloured green) was developing. Yesterday during the Asian session we could observe descending movement from 1.0422 toward the 1.0369 level. Therefore, during the New York session this currency pair continued trading in a bearish mood and the price reached a new low at 1.0347 level. At the moment the AUD/USD pair is at the end of the impulsive 5 wave (coloured blue) and we are expecting to see the price above 1.0440 level soon. In accordance with our wave rules and taking into account that the wave 2 should retrace 61.8% of the wave 1, we can define the potential targets with measuring wave 1 with take profit at 1.0488 (61.8% of wave 1). To reduce the risk, we can use support at 1.0300 level as stop loss.
Support and Resistance
(S3) 1.0318 (S2) 1.0352 (S1) 1.0372 (PP) 1.0405 (R1) 1.0439 (R2) 1.0459 (R3) 1.0492
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the upward movement. That is why long positions at level 1.0350 with stop loss 1.0300 and take profit at 1.0488 are recommended.