Thu, Feb 09, 2023 @ 11:56 GMT
HomeTrade IdeasElliott Wave DailyTrade Idea: AUD/USD - Hold short entered at 0.7720

Trade Idea: AUD/USD – Hold short entered at 0.7720

AUD/USD – 0.7580

Original strategy:

Sold at 0.7720, Target: 0.7550, Stop: 0.7705

Position: – Short at 0.7720
Target:  – 0.7550
Stop:- 0.7705

New strategy :

Hold short entered at 0.7720, Target: 0.7550, Stop: 0.7650

Position: – Short at 0.7720
Target:  – 0.7550
Stop:- 0.7650

As aussie has fallen again after meeting renewed selling interest at 0.7650, retaining our bearishness for recent decline from 0.8125 top to extend further weakness to 0.7550, having said that, loss of downward momentum should prevent sharp fall below there and reckon 0.7500 would hold from here, bring rebound later. 

In view of this, we are holding on to our short position entered at 0.7720. Above said resistance at 0.7650 would defer but only break of indicated resistance at 0.7701 would signal low is formed, bring retracement of recent fall towards previous support at 0.7770 but reckon 0.7800 would limit upside and 0.7825-35 should hold.

On the 4-hour chart, recent upmove from 0.7329 is unfolding as an impulsive rise with wave 3 as well as smaller degree wave (iii) extending, only minor wave v of (iii) has ended at 0.8125, hence bullishness remains for this move to extend headway to 0.8200, then towards 0.8300, however, reckon upside would be limited to 0.8400 and the final wave 5 should falter below 0.8500, bring correction later.

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