Elliott wave Analysis: AUDUSD and 10 Year US Notes – February 2019

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AUDUSD is recovering since the beginning of the year, giving us an idea that a five-wave decline had found a low at the 0.667 level, and that now a three-wave recovery is in play. This recovery has already unfolded wave A), and is now unraveling corrective wave B), which can show up as a flat correction. This flat correction can later look for support and a bounce near the 0.707 level (level of a former swing low) or lower around the 0.694 regions, from where a new five-wave recovery into wave C) can follow. A later break above the 0.729 level would confirm a bullish continuation.

AUDUSD, 4h

10 Year US notes can be unfolding a flat correction since May of 2018, but even with this bearish structure, there is room for more upside as current slow price move above 121 looks like a corrective pause within the current uptrend. Ideally, that’s wave four, either of wave C or maybe even wave 1, but in both cases, we think that one leg up is coming before price turns lower for a pullback.

10 Year US Notes, Daily

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About Author

Grega Horvat Grega is based in Slovenia and has been involved in markets since 2003. He is the owner of Ew-Forecast, but before that he was working for Capital Forex Group and TheLFB.com. His feature articles have been published on FXstreet.com, Thestreet.com, Action forex, Forex TV, Istockanalyst, ForexFactory, Fxtraders.eu, Insidefutures.com, etc. He recently won the award on FXStreet.com for Best Forex Analysis in 2016. At Ew-forecast he helps clients and educates them about the Elliott wave principle and how to label and track unfolding patterns in real time. His approach to the markets is mainly technical. He uses a lot of different methods when analyzing the markets such as candlestick patterns, MA, technical indicators etc. His specialty, however, is Elliott Wave Theory which could be very helpful especially if you know how to use it in combination with other tools/indicators. EW-Forecast To be involved in the market effectively, you need the right guidance and resources, and our team can help you to achieve that. Our team is providing advanced informations about Elliott Wave theory in real time. The Elliott Wave Principle gives you a method for identifying the behavior of the markets and at what points the market is most likely to turn. We help new traders who are interested in Elliott Wave theory to understand it correctly. We are doing our best to explain our views as simple as possible with educational goal, because knowledge itself is power!