AUDUSD - SELL IDEA

In the current AUDUSD setup, Elliott Wave analysis suggests that the pair might be nearing the end of an impulse sequence with Wave (3) recently completed, and entering Wave (4), a typically corrective phase. The currency is showing signs of topping out, indicating potential retracement levels that could be ideal for a short position.

Currently, Wave (4) has reached the 0.382 Fibonacci level at 0.66128, and it might extend to 0.5 at 0.66091 or even 0.618 at 0.66054. These levels provide strategic entry points for a short position, offering good risk-reward potential.

Based on the formation, I recommend considering a short position around these Fibonacci levels, with a stop-loss set just above the recent high in case the upward momentum unexpectedly resumes. The initial target for this short setup would be the start of Wave (4), with potential further downside if the corrective pattern deepens.

Keep an eye on Fibonacci retracement levels and adjust your positions accordingly. Trade wisely and ensure you manage risk effectively!

Trade closed: target reached