Let's have a quick wrap-up about the situation of the AUD pairs:
ML: EURAUD
short: AUDCAD
long: AUDCHF, AUDJPY, AUDNZD, AUDUSD, GBPAUD
We want to go long, generally speaking.
Monthly:
The big picture tells us that we got a slight advantage if we go long, since we're below the middle line and still quite far away from it. Odds for success are increased because the sequence finished with a huge overextension after it firstly failed to reach the target levels. From there the sequence started correcting, which is what we expected it to do. Let's have a closer look in the 2h timeframe:
A bullish sequence started emerging from the new low where the sequence overextended. The green sequence barely touched the target zone which indicates a decline of the amount of buyers.
Now, what we would expect is bearish structure, since the bulls seem to lose steam. As a proof we really got bearish structure: the blue sequence. But this victory doesn't seem to hold for long. It couldn't reach the target levels by a few pips and started to correct the whole blue sequence. From there a bullish sequence emerged with a lot of bullish momentum. The whole correction level of the blue sequence got broken and the bulls reached their goal:
After completion the correction started and we would have expected it to correct at least 50%:
The bears failed again and couldn't withstand the power of the bulls. A lot of bullish structure appearing again.
There are 2 options now:
1) We could trade the internal structure, which is an impulsive sequence as of yet, so we would enter with the BC correction levels, or
2) We wait until the market comes back down to the whole correction level of the bigger sequence.
If the internal structure finishes before it reaches the BC reentry, we would reenter with the whole correction level (not shown here). Since our internal sequence is very impulsive, there is a large chance for it to turn after reaching its target. There are 3 levels overlapping: The 1.618 of the primary sequence, the 1.618 of the secondary sequence and the 1.618 of the internal structure.
For now we can only wait
Hope you enjoyed it, stay tuned!
***
This is no financial advice and should not be treated as such. It only represents my ideas by applying the system I learnt from Stefan Kassing.
ML: EURAUD
short: AUDCAD
long: AUDCHF, AUDJPY, AUDNZD, AUDUSD, GBPAUD
We want to go long, generally speaking.
Monthly:
The big picture tells us that we got a slight advantage if we go long, since we're below the middle line and still quite far away from it. Odds for success are increased because the sequence finished with a huge overextension after it firstly failed to reach the target levels. From there the sequence started correcting, which is what we expected it to do. Let's have a closer look in the 2h timeframe:
A bullish sequence started emerging from the new low where the sequence overextended. The green sequence barely touched the target zone which indicates a decline of the amount of buyers.
Now, what we would expect is bearish structure, since the bulls seem to lose steam. As a proof we really got bearish structure: the blue sequence. But this victory doesn't seem to hold for long. It couldn't reach the target levels by a few pips and started to correct the whole blue sequence. From there a bullish sequence emerged with a lot of bullish momentum. The whole correction level of the blue sequence got broken and the bulls reached their goal:
After completion the correction started and we would have expected it to correct at least 50%:
The bears failed again and couldn't withstand the power of the bulls. A lot of bullish structure appearing again.
There are 2 options now:
1) We could trade the internal structure, which is an impulsive sequence as of yet, so we would enter with the BC correction levels, or
2) We wait until the market comes back down to the whole correction level of the bigger sequence.
If the internal structure finishes before it reaches the BC reentry, we would reenter with the whole correction level (not shown here). Since our internal sequence is very impulsive, there is a large chance for it to turn after reaching its target. There are 3 levels overlapping: The 1.618 of the primary sequence, the 1.618 of the secondary sequence and the 1.618 of the internal structure.
For now we can only wait
Hope you enjoyed it, stay tuned!
***
This is no financial advice and should not be treated as such. It only represents my ideas by applying the system I learnt from Stefan Kassing.
Trade closed manually:
Closed because it's night time. 58 pips profit
