AUD/USD Elliott Wave Analysis: Resistance 0.9080-0.9170
AUD/USD has found support in the past two weeks and rallied more than 300 pips from 0.8650, which can be wave C as part of a flat correction in wave B).
The reason is a three-wave decline from above 0.9080 that we think it's corrective wave B as a part of a bigger complex correction. If we are on the right track then the pair will rise up to the 0.9080-0.9170 resistance zone in the next few trading days where a completion of a contra-trend pattern may occur.
AUDUSD Daily Elliott Wave Analysis
AUD/USD is testing last week highs, so it seems that pair is still moving up in wave (v) of C, final leg of the pattern that is expected to form a top for AUD/USD this week. We are tracking a flat correction labeled since mid-December that is a contra trend movement, thus it suggests more weakness for AUD/USD in weeks ahead. Ideally price will turn impulsively back to 0.8900 that will put pair in bearish mode.
AUDUSD 4h Elliott Wave Analysis
Elliott Wave Education: Flat Pattern
A Flat is a three-wave pattern labeled A-B-C that generally moves sideways. It is corrective, counter-trend and is a very common Elliott pattern.
Expanded Flat – Elliott Wave Pattern
• structure is 3-3-5 • wave B moves beyond the start of wave A • wave C ends more substantially beyond the ending level of wave A • appears in wave two or four in an impulse, wave B in an A-B-C, wave X in a double or triple zig-zag, or wave Y in a triple threes
Written by www.ew-forecast.com