AUD/USD found sellers after Elliott Wave double three pattern
|In this technical article we’re going to take a look at the Elliott Wave charts of AUDUSD forex pair published in members area of the website. As our members know AUDUSD has recently made recovery against the 0.6520 peak that has unfolded as Elliott Wave Double Three Pattern. It made clear 7 swings from the lows and completed correction at the extreme zone. In further text we’re going to explain the Elliott Wave pattern and trading strategy.
Before we take a look at the real market example, let’s explain Elliott Wave Double Three pattern.
Elliott Wave double three pattern
Double three is the common pattern in the market , also known as 7 swing structure. It’s a reliable pattern which is giving us good trading entries with clearly defined invalidation levels. The picture below presents what Elliott Wave Double Three pattern looks like. It has (W),(X),(Y) labeling and 3,3,3 inner structure, which means all of these 3 legs are corrective sequences. Each (W) and (Y) are made of 3 swings , they’re having A,B,C structure in lower degree, or alternatively they can have W,X,Y labeling.
AUD/USD 1 hour Elliott Wave analysis 09.20.2023
AUDUSD made 5 waves down from the 0.652 peak and now correcting that cycle. The pair is giving us (ii) blue recovery that is unfolding as Elliott Wave Double Three Pattern. Correction has wxy red inner labeling. The extreme zone has been already reached at 0.64718-0.64938. However, we expect to see another leg up to complete 7 swings. It’s important that correction ends below 0.65207 peak. We can see either decline toward new lows or larger 3 waves pull back at least. Invalidation for the current count would be break above 0.65207
AUD/USD 1 hour Elliott Wave analysis 09.20.2023
AUDUSD made proposed leg up and complete 7 swings structure. Previous high: 0.65207 held well during the correction. The pair found sellers at the extreme area and we got decline as expected. Current view suggests ((iv)) black recovery completed at 0.65101 high. As far as the price holds below that peak, further weakness should follow.
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