EURAUD just broke out of the uptrend. As we know, once the trend line is broken, there often is a pullback. In this case, in order to complete the pullback, this pair should go back up until it hits the trend line of the new downtrend around the 61.8 retracement. A bearish RSI divergence also confirms this short possibility. If it hits the entry point, I recommend to wait for a candlestick confirmation to enter the trade such as a shooting star or an engulfing formation.
Use appropriate lot size for risk management. Always combine my ideas with your own analysis.
Use appropriate lot size for risk management. Always combine my ideas with your own analysis.
Comment:
+50 pips at the moment! We've reached the first support (1.5885) which caused this 20 pips rejection. I moved my stop loss to breakeven to make it a risk free trade. Now, all there is to do is wait for the break of this support so that EURAUD goes down even more and hits 1.5800.
Comment:
We're getting close to the second and last support before our take profit! +100 pips so far, I'd say it's a pretty good moment to close about half your positions. If not, SL is at break even so once again, all we have to do is hope for the break of this last support.
Trade closed manually:
Looks like a double bottom has formed, I took all my profits. +100 pips for this one guys :) Hope you've been catching these pips! See you soon, more analysis to come.
Comment:
Got out just on time! Hope you did too lol
Comment:
+100 PIPS!:)