Australian Dollar Technical Outlook
We view the decline from .9496 as wave 4 within the 5 wave advance from .8512. Price is expected to exceed .9496 in the next few weeks and possibly test parity before a major reversal occurs. Within the 5 wave rally from .8512, wave 1 is 588 pips, and wave 3 is 622 pips. Wave 5 could be extended or could be close to the lengths of wave 1 and 3. This places the end of the AUDUSD rally near at least .9800-.9900. Near term, look for support and an end to the wave 4 correction in the .9111/.9185 zone (50%-61.8% of wave 3).
STRATEGY: Look for longs in .9111/.9185 zone, against .8874, target TBD