Forex Technical Update July 20, 2010 AUD/USD Looking at a Near-term Decline, EW Count
- 4H and 1H: Here is a look at the 4H and 1H chart. Below are daily and weekly charts. I want to anticipate the current count, and in the 4H chart, we can clearly see an impulse wave coming to an end, and therefore probably corrective waves to follow.
- It appears we already had wave a, and wave b, and may be onto wave c.
- 1H chart shows internals of b, and what would invalidate this count. Wave b should not be an impulse wave so if a rally (also an impulse type) goes above 0.8810 to form a wave (v) here in the internals, then this count is flawed, and anticipation of a c wave projection should be revised.
- Otherwise, if c=a the target is just below 0.8600, 50% retracement level. This is also a confluence of SMA 200 in the 4H chart.
Fan Yang Currency Analyst Commodity Trading Advisor
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