Markets are recovering after some sell-off on Friday, following unsuccessful Military coup in Turkey. We however, see E-mini S&P 500 in a new corrective set-back, probably wave four in the middle of an impulsive uptrend, so price may see some more downside into a sub-wave C. Support can be found around 2129-2139 region. If we are on the right track, then XXX/JPY pairs (any currency pairs) may also see more weakness.
We are looking at Aussie dollar/U.S. dollar (AUD/USD) currency pair very closely at the moment, after that nice decline from 0.7676 high were pair found a top, so current rally is likely going to be corrective. Maybe it’s even wave 2 which means that very sharp drop may occur down into wave 3 this week. Nice resistance for a possible turning point is at 0.7620.
AUD/USD