Sunday, September 25, 2016

EUR/AUD - Might recover a bit, but then ...?

EUR/AUD made an nice move down last week and bounced from 1.4632 but it looks more like a dead cat bounce for now. I believe there is more downside to come but I would like to see a larger correction higher before the next decline takes place.

Wave 1 of larger wave C seems to be complete at 1.4632 and personally I'm looking to short this pair, not at current levels but higher, preferably around 1.4916 while 1.5069 holds.

BTW: The count in the weekly chart is the least bearish count, a bearisher count could be that larger degree wave B is already complete since we already have seen 3 waves up which would mean the Euro will fall from a cliff straight away.


Weekly:

240min: