The price action of AUDCHF
recently has been quite simple, it has been travelling in a triangle, price most recently broke out of a descending trend line
to the upside and while doing so formed an ascending channel
. Price followed in the channel all the way up to the top of the triangle where we experienced a small breakout to the upside. This was quickly turned into a false breakout when price shot down, breaking out of the ascending channel
to the downside and back into the triangle.
Now, price will most likely come back up to retest the inside top of the triangle before making its way back down. The 0.618 retracemennt level lines up perfectly with the inside of the triangle, we have placed sell limit orders at the 0.618 and our tp is at the -1.27 extension level.
IF PRICE HITS STL
, PRICE WILL MOST LIKELY FOLLOW THE RED LINE.