Australian Dollar Technical Outlook
We wrote yesterday that “this count implies that wave 3 up is underway now and that the rally should accelerate. The rally has yet to do that, which calls into question our count. Still, as long as price is above .8817, we remain bulls. This setback in the AUDUSD presents a great bullish opportunity against .8874.” The AUDUSD has rallied nicely this morning but the decline from .9084 to .8923 appears to be in 5 waves, which would be bearish. As long as our bullish levels remain intact, there is no reason to change our outlook. At this point, risk can be moved to .8923 (from .8874).
STRATEGY: Bullish (now is a good time to initiate or add to this position), against .8923, target TBD