Forex

Aussie Is Nearing Projected SupportSep 5, 2023

Aussie is nearing projected support, as we see it finishing a five-wave cycle within wave C by Elliott wave theory.

Aussie has been bearish since start of the year, with a higher degree A-B-C decline that is still in progress after a recent sharp turn down from 0.69 area. We see wave (C) in play down to 78.6% Fib, where pair may look for new buyers.

Aussie Is Nearing Projected Support AUDUSD Daily Chart
AUDUSD Daily Chart

However, before the trend may turn here, we need five subwaves within wave (C), which is not the case yet when looking at the 4h time frame. Notice that there can be a new drop after subwave (4) rally which stopped at the 0.6450-0.65 resistance area. We see a downtrend in play for wave (5) now, down to 0.6250/0.63 as long as the market is below 0.66, the upper line of a base channel.

Aussie Is Nearing Projected Support AUDUSD 4H Chart
AUDUSD 4H Chart

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