AUD/USD – looking to re-test Thursday’s low
Plotting wave count on hourly chart indicates 5-wave structure in progress with an extended third wave. Within an extended third wave.. the 5th wave appears to have resumed, which could end up taking the pair to previous day’s low of 0.7176 levels. A break below 0.7176 levels would open doors for 0.71 handle. If pair rebounds from 0.7176 levels, it would signal 5th wave truncation inside an extended third wave and thus may result in a sharp technical correction towards 0.7367 (May 17 high).
Keep going short:
On W chart we see how much space to fill before to reach oversold area. This means we can keep our short position for at least one more week. We see the black channel to set Stop loss.
Please keep in mind that I am not giving any trading signals or trade calls here. Only providing my own trade thoughts for your benefit and insight as to my trading technique and style. Please don’t ask if you should or should not take the trade or ask for stop loss and take profit levels. Any SL or TP given on my trades are my own I have used for my trade and are not recommendations for you to use. If you are not sure, then you do not have a trading plan for yourself in place. I suggest you make one before you continue to do any trading!
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