RELIABLE AUD/USD FORECAST

At Elliott Wave Forecast, we use various technical tools that help us analyze the market more proficiently and take precise and accurate entry orders. Some of our technical and analysis tools include Elliot wave structures, market correlations, Fibonacci, trendlines, market dynamics, and sequences. Such technical tools help us analyze the market with extreme precision and allows us to stay on the right side of the trend. The right side is a terminology used at Elliott Wave Forecast, and it refers to the overall trend’s direction and our rhetoric about the market’s trend. For example, if we call the trend right side, we call out the specific direction of the trend (bullish or bearish). This allows us to give our traders highly probable AUD USD Trade signals.

As AUD USD is the fifth most traded pair on the forex market, it brings with it tons of volatility and volume. Thus, the trendy nature of the pair. One of the most powerful tools in trading trendy markets is Elliott Wave Analysis. It helps analyze historical market waves and anticipate more significant potential moves to occur in the market with extreme precision and exact entry points. The system that Elliot Wave Analysis brings with it includes wave structures, cycles, sequences, and correlated sequences. It is one of the most used technical tools in the forex market. It can be used on any market, including crypto! However, as many investment banks suggest, your trading plan must include a variety of confluences, and you must not rely on one technical indicator. For this reason, using Elliot wave analysis as a sole indicator for your trading decisions can be a failure.

Blue Boxes

Our top traders orchestrate blue boxes at such areas of the charts where there are higher probability and chances for either a trend continuation or trend reversal towards our desired targets. Moreover, the blue boxes include and represent the 3,7, or 11 swings to end. Our analysts also use blue boxes for a variety of reasons, as it consists of the use of Fibonacci extensions in its orchestration. It is used for attaining profit targets as well. For example, if we are in a trade and see a blue box forming up with high-frequency inflection areas and areas of interest, we will close our existing trade and get in a new trade that the blue box offers. It is one of our primary methods of trading the markets and contains a high level of probability.

Fibonacci

Fibonacci is the most understood tool; however, it is not used at its full effect. It offers high probability numbers where possible retracements and extensions of the trend may occur. For this reason, it is highly popular and essential among traders and investors. We at Elliot wave forecast use Fibonacci as a confluence to our already existing trading system. For example, we use Elliot wave analysis and sequences in combination with Fibonacci extensions and retracements. This allows us to attain a more detailed view of the market and extreme accuracy.

Trendlines

In a nutshell, trendlines are one of the most popular technical tools among traders due to their easy-to-use nature. Notwithstanding its nature, trendlines are highly powerful and precise technical tools. Most of the traders use it as an added confluence for their entry or exit orders. We at Elliot wave forecast use it for a variety of reasons. One of the main reasons includes identifying the nature of the trend and its strength. We also use different indicators with trendlines such as RSI and distribution systems, and it allows us to create a trading system with trendlines that is highly probable and precise.

Market Correlations

One of the most prominent market correlations for the AUD USD pair is USD CAD, USD JPY, and USD CHF pairs. This is because the AUD USD pair has USD’s quote currency, while the other mentioned pairs have USD as the base currency. Our analysts utilize the first- and second-dimension correlation system to attain a more precise and accurate correlation of a specific pair across different asset classes. Having a correlation system as part of our trading plan allows us to make wiser decisions and elevate our overall trading style.

AUD USD is the short abbreviation, which is referred to as Australian Dollar and U.S. dollar. As a currency pair elucidates to the readers the amount of currency needed to buy 1 unit of another currency, the AUD USD exchange rate represents the amount of U.S. dollars required to buy 1 unit of AUD (Australian dollars). In this currency pair, AUD (Australian dollar) is considered the base currency, and the USD (U.S. dollar) is regarded as the quote currency.

Understanding the AUD/USD Pair

Basics of AUD USD include understanding its exchange rate. For example, if the AUD USD currency pair is trading at 0.7645, it would require over 0.7645 dollars to buy 1 unit of the Australian currency unit. The AUD USD currency pair is one of the most traded currencies in the forex markets. Many traders have given this pair a nickname, “Aussie.”

Basic Fundamental analysis of AUD USD

The AUD USD currency pair is affected by much fundamental news and other fundamental factors. Some fundamental correlations for AUD USD are the price of commodities such as (Gold, coal, iron ore, copper) AUD is a significant producer of metals. For this reason, when the price of metals is increasing, AUD USD also tends to increase. Other factors such as Employment data, GDP, and monetary policies are highly influential on the AUD USD trading pair, and they can significantly steer the overall movement of the pair. At Elliot wave analysis, we profoundly analyze correlations with different asset classes for this pair to provide our clients the best trading opportunities. However, we do not use any fundamental analysis, as we think that the price movements that occurred by fundamentals are already priced in. also, our professional technical tools allow us to determine such moves before their occurrences.

What is the best time to trade AUD USD?

In theory, forex pairs can be traded 24/7. However, there are times when market turnover happens (overnight) and times when there is very low liquidity (bank holidays, prior to significant news events, and political unrest). For this reason, it is crucial to understand the best trading hours for the currency pair you wish to trade. At Elliot wave forecast, we use a highly imperative system that allows us to understand the best hours for trading a specific pair. In general, the Aussie is most volatile between 19:00 and 4:30 (GMT).