AUD/USD Elliott Wave
Since our last analysis, the AUD/USD pair was trading in an upward move, like we expected, developing corrective wave 4 (coloured blue) of the bigger wave (3) (coloured green). Yesterday during the Asian and European sessions, we could observe a strong ascending movement towards the 1.0190 level. Therefore, during yesterday's New York and today's Asian sessions, the AUD/USD pair continued trading in a bullish mood reaching a new 2-day high at 1.0246 level and we can consider this move as the end of the corrective 4 wave (coloured blue). At the moment this currency pair is trading around 1.0210 level and we are expecting to see the price around 1.0068 level soon. In accordance with our wave rules and taking into account that the wave 5 should retrace 100% of the wave 1, we can define the potential targets with measuring wave 1, with Take Profit at 1.0068(100% of wave 1) . To reduce the risk, we can use invalidation at 1.0247 level as Stop Loss. Also it is necessary to monitor AUD NAB Business Confidence and RBA Deputy Gov Lowe Speaks data that can change the rate of the pair
Support and Resistance
(S3) 1.0115 (S2) 1.0142 (S1) 1.0159 (PP) 1.0186 (R1) 1.0213 (R2) 1.0230 (R3) 1.0257
Trading Forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the downward movement. That is why short positions at the level of 1.0190 with Stop Loss 1.0247 and Take Profit at 1.0068 are recommended.