AUDUSD Elliott Wave
Since our last analysis the AUD/USD pair has been trading upwards, just like we expected, the corrective wave 4 (coloured blue) of the bigger wave 5 (coloured green) has been developing. During the Monday's Asian and European sessions we could observe an ascending movement from 0.8845 towards the 0.8915 level. Therefore, during the New York session this bullish mood continued and thу pair reached a new daily high at 0.8924 level. At the moment, the AUD/USD pair is trading around 0,8969 and we are expecting to see the price lower in the next few sessions. In accordance with our wave rules and taking into account that wave 5 should retrace 61.8% of wave 3, we can define potential targets measuring wave 3 with take profit at 0.8720 (61.8% of wave 3). To reduce the risk, we can use a resistance point at 0.9080 level as stop loss.
Support and Resistance
(S3) 0.8786 (S2) 0.8817 (S1) 0.8872 (PP) 0.8903 (R1) 0.8958 (R2) 0.8989 (R3) 0.9044
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin an downward movement. That is why short positions at the level of 0.8900 with stop loss at 0.9080 and take profit at 0.8720 are recommended.