Simple Moving Average(SMA) 50-period (red), 200-period (bold, gray)
RSI-14 with Simple Moving Average 5-period of RSI attached.
Elliott Wave Principles
Market and Price Action (patterns, candlesticks)
Intraday pivots and Intermediate-term support and resistance
- This is a quick follow up on yesterday's AUD/USD Gartley anticipation. The market did rally in the direction of completing a Gartley, but we are at the important parity level resistance where the market is consolidating early in the US session.
- A clean break above parity suggests the market can extend towards 1.0050 area, which is between 50% and 61.8% retracement, 100% projection, and 150% extended retracement. If this resistance does not hold off the AUD/USD, the bearish scenario is in trouble. We should anticipate topping around here, as the market has shown us a sharp bearish move since the beginning of the year, and the recent two weeks' display of strength have has been tentative.
- The bearish scenario opens up if the market breaks below the rising support seen in the 4H chart.
- The bearish target is 0.9750 in the short-term.
Will the Aussie resume its uptrend or continue this intermediate term bearish correction to its 2011 rally? We would love to hear what you think.
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Fan Yang CMT
Chief Technical Strategist