Elliott Wave Analysis of AUD/USD for February 27, 2014
February 28, 2014 5:15 am
AUD/USD Elliott Wave
The AUD/USD pair has managed to complete the corrective double three pattern from Feb 17 in the early London session today, so we need to focus more on upward movements in this pair next. In the 1-hour chart of the AUD/USD pair, we can see that the price has bounced exactly from the equal legs between waves [w] and [y], and now while the price manages to stay above the 0.8902 level, we are going to focus only on the buying opportunity in the blue C wave, that could take an impulsive pattern. In accordance with our wave rules and taking into account that wave C should extend 100% of wave A, we can define the potential targets with measuring wave A with take profit at 0.9326 (100% of wave A). If the price makes a new low below the 0.8903 level, we must go with idea that wave B is still incomplete cycle and we should wait for the next support level at 0.8869 to come before we try another setup.
Proceeding from Elliot Wave rules today, the trend is expected to begin the upwards movements. That is why long positions at the level of 0.8940 with stop loss at 0.8903 and take profit at 0.9326 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
AUD/USD Elliott Wave
The AUD/USD pair has managed to complete the corrective double three pattern from Feb 17 in the early London session today, so we need to focus more on upward movements in this pair next. In the 1-hour chart of the AUD/USD pair, we can see that the price has bounced exactly from the equal legs between waves [w] and [y], and now while the price manages to stay above the 0.8902 level, we are going to focus only on the buying opportunity in the blue C wave, that could take an impulsive pattern. In accordance with our wave rules and taking into account that wave C should extend 100% of wave A, we can define the potential targets with measuring wave A with take profit at 0.9326 (100% of wave A). If the price makes a new low below the 0.8903 level, we must go with idea that wave B is still incomplete cycle and we should wait for the next support level at 0.8869 to come before we try another setup.
Support and Resistance
(S3) 0.8850, (S2) 0.8896, (S1) 0.8932, (PP) 0.8978, (R1) 0.9014, (R2) 0.9060, (R3) 0.9096.
Trading forecast
Proceeding from Elliot Wave rules today, the trend is expected to begin the upwards movements. That is why long positions at the level of 0.8940 with stop loss at 0.8903 and take profit at 0.9326 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
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