AUD/USD looking for more weakness

December 13, 2017 09:21 AM
Elliott wave analysis: AUD/USD

The Aussie dollar/U.S. dollar (AUD/USD) currency pair is showing us a potentially completed higher degree three-wave recovery as in an A-B-C manner within IV at the 0.8123 area from where a sharp reversal occurred in impulsive fashion, so it can represent a start of a new bearish cycle. We see Sub-wave 3) of 1 in progress, that can once be unfolded push price into a temporary pullback of Wave 4). Wave 4) can see limited upside near the 0.7653/0.7714 region.

AUD/USD, Daily

Regarding the 4-h chart, here we see the AUD/USD pair unfolding a minor rally, away from 0.7501 level, where Sub-wave 5 of 3) had completed. The current rise can now be part of an upcoming three-wave rally within corrective Wave 4), that can see limited upside near the 0.7655/0.7714  level.


AUD/USD, 4-hour

About the Author

Gregor Horvat, based in Slovenia, has been in the forex markets since 2003. He is a technical analyst and individual trader who has worked for Capital Forex Group and TheLFB.com. He also is founder of forex services on www.ew-forecast.com. EW-Forecast.com provides technical analysis of the financial markets, highlighting behavioral patterns based on the Elliott Wave Principle (EWP). Website: http://www.ew-forecast.com/