AUD/USD Elliott Wave Since our last analysis the AUD/USD pair has been trading upwards, just like we expected, impulsive wave .iii (coloured black) of the bigger wave i (coloured blue) has been developing. Yesterday, during the Asian session we could observe descending movements from 0.9116 towards the 0.9080 level. Therefore, during the European and New York sessions this major currency did not manage to hold around the lows and the price retraced back to the 0.9166 level. At the moment, the AUD/USD pair is trading around 0.91163 and we are expecting to see more bullish movements in the next few sessions. In accordance with our wave rules and taking into account that wave 3 should retrace 161.8% of wave 1, we can define the potential targets with measuring wave 1 with take profit at 0.9280 (161.8% of wave 1). To reduce the risk, we can use invalidation point at the 0.8989 level as stop loss.
Alternate count: We can count the move from the lows just as A-B-C correction and if this is true we must go with an idea that b wave (coloured red) is still incomplete cycle. This count will become valid when the price break the 0.8989 level.
Support and Resistance (S3) 0.9001, (S2) 0.9037, (S1) 0.9093, (PP) 0.9129, (R1) 0.9185, (R2) 0.9221, (R3) 0.9277.
Trading forecast Proceeding from Elliot Wave rules today, the trend is expected to begin upward movements. That is why long positions at the level of 0.9060 with stop loss at 0.8989 and take profit at 0.9280 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
AUD/USD Elliott Wave
Since our last analysis the AUD/USD pair has been trading upwards, just like we expected, impulsive wave .iii (coloured black) of the bigger wave i (coloured blue) has been developing. Yesterday, during the Asian session we could observe descending movements from 0.9116 towards the 0.9080 level. Therefore, during the European and New York sessions this major currency did not manage to hold around the lows and the price retraced back to the 0.9166 level. At the moment, the AUD/USD pair is trading around 0.91163 and we are expecting to see more bullish movements in the next few sessions. In accordance with our wave rules and taking into account that wave 3 should retrace 161.8% of wave 1, we can define the potential targets with measuring wave 1 with take profit at 0.9280 (161.8% of wave 1). To reduce the risk, we can use invalidation point at the 0.8989 level as stop loss.
Alternate count: We can count the move from the lows just as A-B-C correction and if this is true we must go with an idea that b wave (coloured red) is still incomplete cycle. This count will become valid when the price break the 0.8989 level.
Support and Resistance
(S3) 0.9001, (S2) 0.9037, (S1) 0.9093, (PP) 0.9129, (R1) 0.9185, (R2) 0.9221, (R3) 0.9277.
Trading forecast
Proceeding from Elliot Wave rules today, the trend is expected to begin upward movements. That is why long positions at the level of 0.9060 with stop loss at 0.8989 and take profit at 0.9280 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
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