The divergence in RSI suggests that the impulse wave 3 (red) is at its final stages. The correction towards 0.8806 is therefore expected before downtrend resumes. It is convenient for the bears to enter near that 0.8806 level.
EURGBP corrected to 0.7830. The RSI shows that the correction may be over as the pair is oversold. Hence we are expecting a rally to the new highs in the next couple of days. That uptrend movement will be confirmed with the break above 0.7975. Of course below 0.77998 we should consider of wave count as invalid
Wave (2)-blue may have been completed and that the formation of wave (3)-blue is currently in view. The wave (3) may lead us to around 0.8200 in the next couple of days. This can only be valid as long as 0.7800 holds.
The pair has just been rejected from its recent high of 0.8. The corrective wave (4) is currently under way. Long positions may be taken near the 0.7924 area(the projected end of wave (4)) and target 0.82. Our count is valid as long as 0.7863 holds.
The pair continues to drop and may do so until the 0.8455 level has been reached.The break below 0.85372 will confirm this movement. The pair, below 0.8455, is expected it to undergo some temporary correction in the form of wave (4). Our wave count is valid as long as the pair trades below 0.891.
The pair has been under pressure for few months now. At the moment it is experiencing a notable recovery which we believe is a display of the corrective wave (2) - light green. This recovery could continue to 0.9 level. From there the pair could resume its downtrend that may extend to the 0.8 level. This is true ...
The impulse wave 3 is currently in view. However RSI(14) indicates that the pair is oversold, so we expect to see the pair correcting in the form of wave 4 after which downtrend may resume to 0.89. Our count will be invalidated if the pair breaks above 0.9328.
The pair spent most the last week recovering. As we can see, the overall movement is still downtrend. Thus we expect to see a continuation of that downtrend soon. Our stops should be placed just above the 0.9370 level.
The pair rallied to 0.9318, the level that can be viewed as the end of the corrective wave 4. The impulse wave 5 has just started and AUSUD may continue its downtrend toward the 0.9200 level as long as 0.9370 level holds.