We’re still on the same development with quite a modest follow-through to reach the first Wave [a]. I’m not even sure that we’ll see much of a pullback even in the Asian centre but, as always, there’s always a risk of a complex correction. Basically, we need to look for the dollar upside and use pergences to help us through the process.
The market appears to have been rather reluctant but we’re plodding along.
I was surprised with EUR/JPY rallying but I seem to have found the wrong Wave iii – and the newer high provided the Wave v. Therefore, we should be looking for losses to resume but I feel it’ll be a slow grind.
As for AUD/USD, the bearish development has reached the Wave a/iii – perhaps even the Wave b/iii but we’ll have to take care of any pullback. However, once that has been seen the Wave c/iii, Wave iv and Wave v should come along.