AUD/USD: wave analysis 26 July 2019, 10:16

AUD/USD: wave analysis

26 July 2019, 10:16

Scenario
Timeframe	Weekly
Recommendation	BUY
Entry Point	0.6940
Take Profit	0.7205, 0.7293
Stop Loss	0.6832
Key Levels	0.6700, 0.6832, 0.7205, 0.7293

Alternative scenario
Recommendation	SELL STOP
Entry Point	0.6825
Take Profit	0.6700
Stop Loss	0.6885
Key Levels	0.6700, 0.6832, 0.7205, 0.7293

The pair is in a correction and may grow.
On the 4-hour chart, the correction of the higher level develops as the second wave 2 of (5), within which the formation of the wave c of 2 began. Now, the first wave of the lower level (i) of c has formed, and the downward correction (ii) of c is developing as an irregular flat. If the assumption is correct, after the end of the correction, the pair will grow to the levels of 0.7205–0.7293. In this scenario, critical stop loss level is 0.6832.


Main scenario
Long positions will become relevant after the end of the correction, above the level of 0.6832 with the targets at 0.7205–0.7293. Implementation period: 7 days and more.
Alternative scenario
The breakout and the consolidation of the price below the level of 0.6832 will let the pair go down to the level of 0.6700.