18.09.201310:23 Forex Analysis & Reviews: AUD/USD analysis for September 18, 2013

AUD/USD Elliott Wave 
Since our last analyses the AUDUSD pair has been trading higher, we have moved to our alternate scenario that is showing that we are currently in the .B (coloured black) of the bigger wave 4 (coloured green).Yesterday, during the Asian and European sessions we could observe ascending movements from 0.9284 towards the 0.9338 level. Therefore, during the New York session this major currency continued trading in the bullish mood and the price reached a new daily high at the 0.9366 level. At the moment, the AUDUSD pair is trading around the 0.9355 level and we are expecting to see one more push lower before we see final 5 wave (coloured green). In accordance with our wave rules and taking into account that wave C should retrace 123.6% of wave A, we can define the potential targets with measuring wave A with take profit at 0.9240 (123.6% of wave A). To reduce the risk, we can use invalidation point at 0.9400 level as stop loss.

Support and Resistance 
(S3) 0.9222 (S2) 0.9253 (S1) 0.9303 (PP) 0.9334 (R1) 0.9384 (R2) 0.9415 (R3) 0.9465

Trading forecast 
Proceeding from Elliott Wave rules today, the trend is expected to begin downward movements. That is why short positions at the level of 0.9340 with stop loss at 0.9400 and take profit at 0.9240 are recommended.