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30.05.2012 09:59 AM
AUD/USD Elliott wave count and Fibonacci levels for May 30, 2012

The AUD/USD pair is developing an impulse wave A (light green in the chart) of the medium term downtrend. Within this wave we have two subwaves (royal blue in the chart) and a potential corrective subwave B is developing from 0.9689 comprising two subwaves (magenta in the chart) and a subwave B developing from 0.9897. However, this wave will be marked as A if it breaks below 0.9689.

As for now, the immediate supports are Fibonacci retracements of 0.9689-0.9897 and expansions of 0.9897-0.9800-0.9855.

Supports:

- 0.9768 = .618 retracement
- 0.9758 = objective point (OP)
- 0.9698 = expanded objective point (XOP)
- 0.9601 = super expanded objective point (SXOP)

If the price reverses to the downside, the immediate resistances will be Fibonacci retracements of the wave down from 0.9897 - this wave has not developed yet, so resistances are not available.

This image is no longer relevant

Overbought/Oversold

The bigger wave is now moving upwards, so it is preferable to try long positions when the Detrended Oscillator goes below the zero level (current prices) or into the oversold area (20-35 pips below the current prices). Consider the opportunities to go long at or near the indicated supports.

Read more on how to trade with Fibonacci levels.

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