It was 3rd July 2014, when we said that AUDUSD begins a corrective decline. Things have been going according to plan so far, with the AUD USD exchange rate down by more than 250 pips. However, it seems like there is still a lot of weakness ahead.
R.N.Elliott described third waves as “wonders to behold”. Usually they are the strongest, biggest and fastest movements in every impulse. The above-shown 4-hour chart of AUD USD suggests, that wave 3 of (3) of III/C should begin soon. Paying attention to details is crucial when it comes to the Elliott Wave Principle, so we are now going to examine the wave structure of waves 1 and 2 in the black rectangle.
As visible, the 30-minute chart confirms a 5-3 Elliott Wave cycle, so we should expect another five-wave decline in the AUDUSD currency pair. Having in mind the bigger picture, it could be a big one, probably leading prices as low as 0.9080.
