AUD/USD Elliott Wave
Since our last analysis the AUD/USD pair was trading downwards just like we expected, corrective wave C (coloured blue) of the bigger wave (2) (coloured green) was developing. During the Friday's Asian session, we could observe slight ascending movement from 1.0239 towards the 1.0282 level. Therefore, during the European and New York sessions this currency did not manage to hold around the highs and price retraced back to 1.0210 level. Today during the early Asian session the AUD/USD pair has finished developing of the wave (2) (coloured green) at the 1.0201 level and we are expecting to see price above 1.0490 level in the next few days. In accordance with our wave rules and taking into account that the wave 3 should retrace 161.8% of the waves 1, we can define the potential targets with measuring wave 1 with take profit at 1.0499 (161.8% of wave 1). To reduce the risk, we can use support at 1.0182 level as stop loss.
Support and Resistance
(S3) 1.0171 (S2) 1.0198 (S1) 1.0215 (PP) 1.0243 (R1) 1.0270 (R2) 1.0287 (R3) 1.0315
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movement. That is why long positions at level 1.0240 with stop loss 1.0182 and take profit at 1.0499 are recommended.