FX.co ★ AUD/USD Elliott wave count and Fibonacci levels - March 18, 2011

The AUD/USD is developing wave C of medium term downtrend - colored royal blue in the chart. On smaller scale this wave includes A and B subwaves - colored magenta in the chart. Subwave B is still developing. The targets of the potentially corrective upmove are Fibonacciretracements of 1.0162-0.9709, and expansions off 0.9709-0.9876-0.9784.

Resistances:

- 0.9935 = .50 retracement, already achieved (!)
- 0.9951 = objective point, achieved (!)
- 0.9989 = .618 ret
- 1.0054 = expanded objective point (XOP)
- 1.0221 = super expanded objective point (SXOP)

If the downtrend resumes the immediate supports will be Fibonacci retracements of 0.9709-0.9952, and expansions off 1.0162-0.9709-0.9952.

Supports:

- 0.9859 = .382 ret
- 0.9830 = .50 ret
- 0.9802 = .618 ret
- 0.9672 = contracted objective point (COP)

Overbought/Oversold

Assuming that the medium term downtrend is in corrective mode, it's preferable to stand aside until either the downtrend resumes or the corrective upmove proves to be a wave up of larger degree.

Read more on how to apply Fibonacci studies to calculate price targets.