AUD/USD Elliott wave count and Fibonacci levels for May 9, 2012 2012-05-09
AUD/USD is developing impulse wave A (light green in the chart) of medium term downtrend. Within this wave there are five subwaves (red in the chart), and impulse subwave 5 is developing from 1.0219. Within the latter we have also five subwaves of a still smaller degree (yellow in the chart), and impulse subwave 5 is still developing from 1.0133.
The targets below are Fibonacci expansions off 1.0473-1.0304-1.0354, 1.0354-1.0110-1.0219, 1.0196-1.0088-1.0133.
- 1.0025 = objective point (OP) - 0.9975 = OP - 0.9958 = expanded objective point (XOP) - 0.9912 = super expanded objective point (SXOP)
If the price reverses to the upside the immediate resistances will be Fibonacci retracements of the wave down from 1.0219 - this wave is not developed yet, so no resistances are available so far.
The larger wave is now moving down, so it's prefereable to go short when the Detrended Oscillator goes above the zero level (25-30 pips above the current prices) or into the overbought area (35-45 pips above the current prices), watch for possibilities to go short at or near the indicated resistances.