Oct 04, 2022
VOT Research Desk
AUD/USD Rally to Fail for Further Downfalls
Immediately Elliott The cycle from the high of 8.11.2022, according to the AUDUSD’s wave perspective, is currently in motion as a five-wave impulse structure. Wave 1 of the decline from the 8.11.2022 high finished at 0.6699, and wave 2’s rally concluded at 0.6916.
Wave 3 resembled an impulse to a lesser extent. Wave I of the wave down from wave 2 finished at 0.6701, and wave ((ii)) of the wave up ended at 0.677. Wave ((iii)) of the pair’s decline continues towards 0.6434, and wave ((iv)) of the rally stopped around 0.6512. Wave 3’s third leg of the bottom wave ((v)) concluded at 0.6359.
Technical analysis
Daily Pivots: (S1) 0.6437; (P) 0.6480; (R1) 0.6557;
The intraday bias is still neutral as the AUD/USD pair continues to consolidate from 0.6362.
A more robust recovery may be observed. However, the upswing should be restrained well below the support turned resistance level of 0.6698. If 0.6362 is broken, the broader downward trend will resume, leading to a 100% prediction of 0.6680 to 0.7680 from 0.7135 to 0.6155.
As long as the 0.7135 resistance holds, the downward trend from the 0.8006 (2021 high) high is anticipated to continue.
The next target is the 0.5506 low after the 61.8% retracement of 0.5506 (the 2020 low) to 0.8006 at 0.6461 was successfully knocked out. Now, medium-term momentum will be actively watched to determine the likelihood of breaking 0.5506 in the future.
