AUD/USD is extending the bounce from the 0.7311 monthly low of 21 November, but difficulty is seen sustaining further gains as short-term studies turn mixed.
Congestion around 0.7600 is expected to provide a strong barrier, as investors remain cautious, with prices to settle into consolidation above 0.7305.
An unexpected break below 0.7311, however, will turn...
this kind of analysis is unusual for me to share, but i want to show how important could be having more reasons together as confirmation of your bias.
The black line correspond to a daily support level, that could turn into resistance now that's been broken. Not only do we have structure, we also have two different harmonic pattern (equal measure move)...
Just spotted a little double top on the AUDUSD 15 minute chart. It's topped a resistance line in the larger bearish move.
Wait for a .618 retrace on the current pull down, then set target for 1.272 fib extension of A-B for the win!
There's a lot going on with AUDUSD right now. There's a couple of cyphers on the lower 30min chart. One (blue) has just completed with a target .382 hit, the second (red) is looking to reverse shortly.
It the hour chart you can see a gartley setting up which will coincide with the uptrend of the two cyphers.
Cyphers on the 15/30 min charts. One smaller has just completed (in blue), second cypher is setting up now (in red).
There's also possibly a small Gartley setting up in blue on the 5 min chart. All long.
If you seen my last Aussie post you would have seen that market did in fact come up into my target area and produce multiple rejections for an entry and is now in decent profit.
However if you did not spot the opportunity then if the market can comeback up and retest the double top structure formed then a decent rejection of that level will also provide a decent...
A Double bottom right along the 61.8% Fibonacci level has me thinking of a long opportunity.
It's previous support, the ADX is crossing the DMI- and the RSI is leaving very oversold conditions.
I see this as a classic 61.8 - 38.2 fib play.
I am eyeing the 0.75 price for a short opportunity.
This is because:
Price has respected this level in the past
An AB=CD pattern is on the verge of completing right at the level
Price is overbought on the RSI
With the break down finding support at expected levels and a bounce back to resistance, I think we could see a further move to the downside. I'm shorting this at current market price with a target of 0.71820, again at previous support levels. Nice 5:1 potential profit-risk ratio here.
These are only my opinions. Comments, questions and suggestions are very welcome!