The pair is in a correction.

A Bearish correction as wave 2 seems to continue forming within which, assumingly, the first wave a of 2 as a wedge has finished and wave b of 2 is forming. If the assumption is correct, the pair continues declining to 0.7095 within the correction. A critical for this scenario is the level of 0.6905 the breakdown of which would lead to a long-lasting Bearish trend.

Trading tips

In the short term: sell the pair from corrections, below the level of 0.7380 with the target at 0.7095.

In the medium term: wait for correction 2 to end.

Alternative scenario

The breakdown and consolidation below the level of 0.6905 would allow the pair to continue declining to 0.6800-0.6700.

AUD/USD: wave analysis

AUD/USD: wave analysis




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