AUDUSD A Wave nearly complete

AUDUSD appears ready to decline after advancing 5 waves and nearing significant resistance at its 144 hour moving average.

AUDUSD rally before Wave 3 of 3 of 3 decline!

AUDUSD appears set to rally once more, perhaps close to parity before a large scale decline unfolds in a Wave 3 of 3 of 3. This coming decline is the move I am hoping to catch, so make sure you are not caught off gaurd (ie. use tight stops) if you decide to play this small Wave 2 bounce.

S&P 500 ready to rally?

The S&P 500 appears set for a large rally which could potentially take us to new highs above 1220. Looking back at the price action since the August 9th low, it looks extremely corrective. Therefore I do not believe we are in the midst of a 3rd of 3rd Wave just yet. The selling does not appear forceful enough. Currently, Wave C Green (the end of Wave B Red) is not confirming the new RSI lows below Wave A Green on a 2 hour time frame. However, if we break the August 9th lows, fresh selling pressure would be injected giving the 3rd of a 3rd look. There is a way to count price action in this manner; however, wave 1 and 4 overlap requiring it to be labeled as a leading diagonal. I only label in this manner as a last resort, but it is a possibility. I believe we will have final week or so of a strong rally to knock out the weak shorts, followed by a severe decline around October 10th.