Aud/Usd - Two Part Plan for Aussie Moves
There are two possible counts on this par for today. The most common correction in wave IV is zig-zag, which was not the case yesterday, the next two are definitely triangle and flat, it is interesting to see what is developing right now.
The chart shows the wave count of the triangle in red wave IV with 3-3-3-3-3 sub-waves. Well, today I marked blue wave A) as a three wave move with irregular B. It then shows a three wave move in wave B) and C), and the double zig- zag in wave D) which is labeled as W, X and Y. If this wave count is correct there may be another three waves up to make wave E) complete, before the market trades lower again. The current prices are at critical support right now, so any bounce from here should lead up to somewhere between the 61.8% and 76.4% of wave D). There may be a lot of sellers in this area, around the upper resistance line of the triangle that may push prices down to new lows again.
Prices should stay above the 0.8607 to make the above wave count valid, otherwise there is plan number two, below. This wave count could be the second plan, if current prices just decide to continue lower.
The only difference between these waves and the triangle is five waves in blue wave C with the weaker black wave IV, then the leading diagonal in wave I), with the "throw-over" in wave V. After that prices find resistance just above 61.8% of wave I), which could be the move of wave II). If this scenario is correct there could be some powerful downside moves in the coming soon. In this case we could see some sellers after the possible bounce from the trend line, where support become resistances for moves lower.
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