EUR/AUD Elliott Wave
After a strong upwards movement that bring the EUR/AUD pair to the 1.3190 level (end of the wave 3 green on the chart) in January this currency pair is currently trading in a sideways move, on technical perspective this move can be characterized as the triangle. On the 2-hourly chart we can see that sub- waves a,b,c (coloured blue) are complete and that we are currently at the end of the corrective d wave of the bigger (4) wave (coloured green). In my opinion the EUR/AUD pair should find resistance around 1.3100 level where we can expect short term bearish scenario. According to Elliott Waves rules wave E usually retrace around 61.8% of the wave C, so after a measuring C wave we got level of 1.2978 as the possible support area. Pushing the price above the end of the b wave (coloured blue) at 1.3158 level would bring this wave count to invalidation so keep attention on the EUR/AUD movement.
AUD/USD Elliott Wave
From the start of the 2013 the AUD/USD pair was trading downwards, from the technical side we can expect to see some bullish moves this week. If we look at the 2-hourly chart we can see that bearish movement from January have 5 waves look and in my opinion this is the end of the impulsive wave (1) (coloured green). We are currently at the end of the sub-wave B (coloured blue) of the 2 wave. Assuming that our wave count is correct we got one more wave to the upside to go. According to Elliott waves rules 2 wave often retraces 50 or 61.8% of the wave 1 so when we measure wave 1 we see possible resistance at 1.0426 (50% of 2vs1) and 1.0467 (61.8% of 2vs1).Invalidation to this count will be if price continue to go lower and push below 1.0254 level where the wave 1 (coloured green) ends.
