For those who follow me for a longer period of time might remember me calling 0.81 to be fair value for AUDUSD according to my analysis. I think both technicals by means of structure as fundamentals suggest that this correction on the daily time frame is not over yet.
First let's have a look at the weekly chart for context:
Focusing on wave C on tells us several things. First of all; it seems like wave 1 of wave C was a leading diagonal and like I mentioned in my NZDUSD posts recently, a diagonal wave often comes with a Zig-Zag (ABC) correction. I believe we might see such a Zig-Zag (ABC) correction on the daily and 4 hour time frame. The question is whether this potential ABC is already over and therefore I prepared two scenario's on the lower time frames.
4hr bullish
4hr bearish
Key for both scenario's is that I expect either a retrace by means of a consolidation (bullish scenario) or a sharp reversal (bearish scenario) for a slightly lower low for wave C.
This is what I'm waiting for because although this is my bias (move to 0.81) I will wait for the market to confirm this to me.
Updates will follow:
www.timstuyts.com
First let's have a look at the weekly chart for context:
Key for both scenario's is that I expect either a retrace by means of a consolidation (bullish scenario) or a sharp reversal (bearish scenario) for a slightly lower low for wave C.
This is what I'm waiting for because although this is my bias (move to 0.81) I will wait for the market to confirm this to me.
Updates will follow:
www.timstuyts.com
