Dollar Index, Aud/Usd Elliott Wave Analysis

The $ Index moved higher in the last few sessions and hit the black line that was mentioned on Monday. Prices were strong on the upside moves, and so the wave count has been changed recently into an extended black wave I, followed by a current wave ii retrace. If the wave count is correct then a turning point should follow once wave ii completes, somewhere below the wave IV) highs. The current wave count will have to be changed into a more complex correction if the critical resistance area around the 86.13 top does not hold.

Dollar Index















Aud/Usd Elliott
Aussie traded lower and made a new low of a complex wave IV), just below the current wave w). On a smaller time frame it is clear that the correction in wave IV) was made by double zig-zag pattern with the lows at 0.7040. After that move the market started to trade higher again, approaching the upper blue resistance line which needs to be broken for wave V) targets to follow through. The first one is shown at the same wave I) distance, followed by second and third target around the 161.8% Fibonacci extension levels of red and black corrective waves.
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