A possible alternative. AUD/USD wave analysis

Analysis for October 29^th, 2014

In our previous review, “The beginning of the end. Wave analysis of AUD/USD for 24.10.2014”, we discussed a possible scenario how the price may move to complete a descending impulse [v].

However, the price has broken the critical level and formed a wave pattern, which may indicate a long-term reverse of the trend upwards. Let’s consider this scenario as an alternative one.



The price has moved higher that the ending of wave (iii) of [i] and, thus, reached the minimum targets of a possible ascending diagonal triangle[i] of A.



The previous scenario, which implies that the pair is finishing an ascending correction (iv) of [v], may still happen. However, if the alternative scenario described above is confirmed, the market may reverse upwards inside impulse [iii] of A without breaking the closest critical level at 0.8650 by a descending correction [iii] of A.



According to the possible alternative scenario, the price has already started forming the final ascending zigzag(5).

However, at the same time one should remember that any possible scenario is subjective and the market may move in a completely different direction.

RoboForex Analytical Department