AUD making a bounce; USD looking choppy

April 6, 2017 09:32 AM
Elliott Wave Analysis: AUD/USD & USD Index

AUD/USD
The Aussie made a bounce in the past couple of hours, probably minor Wave iv) that seems to have found some resistance around the 0.7569 level. That said, a current drop can be the start of a new leg down into Wave v, that can ideally reach Fibonacci projection target of 161.8. After wave five finds support a three-wave recovery may be expected.

AUD/USD, 1-hour

USD Index
The USD Index is displaying some choppy and overlapping price movement, probably a triangle consolidation that may be in its final stages. That said, a breach above the sub-wave d) swing will be an indication for higher levels to follow within wave five.

USD Index, 1-hour

About the Author

Gregor Horvat, based in Slovenia, has been in the forex markets since 2003. He is a technical analyst and individual trader who has worked for Capital Forex Group and TheLFB.com. He also is founder of forex services on www.ew-forecast.com. EW-Forecast.com provides technical analysis of the financial markets, highlighting behavioral patterns based on the Elliott Wave Principle (EWP). Website: http://www.ew-forecast.com/