AUD/USD Elliott Wave
Yesterday after the RBA had decided to cut the interest rate from 4.25 to 3.75, we observed a start of the downward movement in the AUD/USD pair. During the Asian session we could observe a strong descending movement towards the 1.0330 level. Therefore during the early European session prices continued trading in a bearish mood and price reached a 4-day low at the 1.0304 level. We can consider this move as the end of the 2 wave (coloured pink). During the New York session the AUD/USD pair started pushing higher and we saw the price at the 1.0350 level. Today the price started the Asian session in a bullish mood and AUD/USD is trying to test 200EMA resistance. We expect to see the price above 1.0400 today. In accordance with our wave rules, taking into account that the wave 3 retraces 161.8% of the wave 1, we can define the potential targets with Fibonacci extensions (1.0246-1.0473-1.0304); the First Take Profit at 1.0531 (100% of wave 1) and Second Take Profit at 1.0672 (161.8% of wave 1). As Stop Loss we can use the invalidation point at 1.0304. It is also necessary to consider the data concerning the U.S. ADP Non-Farm Employment Change, Factory Orders m/m, Crude Oil Inventories and FOMC Member Lacker Speech that can affect the rate of the pair.

Support and Resistance levels
(S3) 1.0231 (S2) 1.0279 (S1) 1.0308 (PP) 1.0355 (R1) 1.0403 (R2) 1.0432 (R3) 1.0479

Trading Forecast
Proceeding from Elliott Wave Rules, today the trend is expected to begin the upwnward movement. That is why Long positions at level 1.0365 with Stop Loss at 1.0304, Take Profit 1 at 1.0531 and Take Profit 2 at 1.0672 are recommended.