Price has been falling in a 5-wave structure from the high at 0.8126 to the recent low at 0.7732. According to Elliott Wave Principle, after a completion of a 5-wave structure, we can expect a 3-wave correction.
Last week's weakness in the US Dollar has given us the first wave up. Going into next week, with few key risk events coming from the Australia side, we might see the completion of the 3-wave correction, WXY.
A decent correction from the close last week might give us a short term opportunity to look for a buy trade targeting 0.7929 to 0.7975 area, before flipping our position to look for a longer term short trade targeting 0.7632 region.
Disclaimer - make sure you have a proper trade plan to engage the trade.
Last week's weakness in the US Dollar has given us the first wave up. Going into next week, with few key risk events coming from the Australia side, we might see the completion of the 3-wave correction, WXY.
A decent correction from the close last week might give us a short term opportunity to look for a buy trade targeting 0.7929 to 0.7975 area, before flipping our position to look for a longer term short trade targeting 0.7632 region.
Disclaimer - make sure you have a proper trade plan to engage the trade.
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