U.S showed some strength, and our market is weakly volatile. Gold showing some weak resilience and dollar having a good run.
AUD has broken new highs three times in the last 24 hours or so - Possibility of a rising wedge or continuation of the trend, I'm not quite sure at this point.
I have taken a short near the new top in mind that we might have a wedge and a pull back in the US tonight before our market cools tomorrow with concern about going into the weekend with the release of the big unknown, the non farm payrolls.
The close of business today will give a clearer picture as to which way probability favours.
If the US has a down night, then this may suit the big boys, ie. pump up the market late Friday, before the Sunday Papers hit with 'blue sky' headlines, giving another week to month to offload.
With that in mind, short term, I'm looking for some sort of extended consolidation over the next 36 hours, to the minor fibs (101.10 to 101.94) before a possible positive release of figures out of the US tomorrow night, leading to the wave five blow off top, circa 105.
There is scope for it to move to 110.. Though shorts are where the actions at, as there is a very good chance of some 'black swan' event over the next week to quarter??, if Elliott wave analysis of the larger picture off the lows of 60 is anything to go by, then this movement is impulsive and final. If so, targets would be as low as 77 to the downside.
