|Bias:||While 0.8587-94 caps I look for losses back to 0.8385-00|
|Daily Bullish:||The downside stalled just above the 0.8473-86 support and has provoked the expected rally to the 0.8587 target which was seen earlier this morning. There is also a small target at 0.8594 and I expect this area to cap and cause losses. Thus a more bullish stance will require a break above 0.8595 which would then generate further upward momentum for a test close to the 0.8662 corrective high.|
|MT Bullish||The cap at 0.8458 appears to suggest a little more should be seen on the upside. The 0.8251-74 area should support and may cause a sideways consolidation before rallying to the 0.8587 area. (18th September)|
|Daily Bearish:||The 0.8587 target was achieved earlier this morning. We should allow for 0.8594 but overall I expect the Aussie to fall back. A break back below 0.8550 will assist and allow the downside to progress towards 0.8530 and then the 0.8490-00 area which should cause a pullback. Much below there would appear to open the way for a larger fall to 0.8385-00.|
|MT Bearish:||We should now see a test of 0.8587 which should cap for larger losses, initially to 0.8370-85 and then to 0.8320 at least. (19th September)|
ELLIOTT WAVE COMMENTS
We appear to be on target for a test of the 76.4% projection in Wave v at 0.8587 where price will have retraced 76.4% from 0.7672.
The 0.8587 target was reached this morning and we need only allow for a small wave equality target in the Wave c of Wave v at 0.8594.
This should then trigger a correction initially to the Wave b of minor Wave v at 0.8490-00 and subsequently to the Wave b of the Wave v shown in the chart at 0.8385.