Search ForexCrunch

Here are AUDUSD and USD Index 4h looks.

AUDUSD is nicely trading to the downside, unfolding a five-wave bearish impulse that can search for a potential base near the Fibonacci ratio of 261.8. However, at the moment we are trading within the third leg as part of an impulse, meaning some temporary pullback may still follow, once wave 3) fully unfolds.


On USD Index we are tracking a three wave recovery from the low which can either be a correction; an A)-B)-C) move, or a start of a new impulsive bullish trend, in case we consider that it can be red wave 3) underway now. However, it is too soon to confirm if the trend has changed or not, but what really matters is that in both cases there is room for red wave 3)/C) to climb up to 94.12 key resistance level.

USD Index, 4H