Mind you, this analysis is going to be long as we will be analyzing the trades with multiple time-frames starting from the monthly time-frame and working our way down to the 1 hr time-frame. Let's start. Shall we?
MONTHLY TIME-FRAME
You can see that price has never gone below the support level at 0.65027. In-fact there are already signs of price rejection from the support level. We are therefore looking to go long in the long term.
WEEKLY TIME-FRAME
Coming down one time-frame lower, you can see a huge price rejection off a weekly key support level 0.65027. This in itself is a strong bearish reversal signal. The fact that it is coming off a key support level makes it more relevant.
DAILY TIME-FRAME Can you see the huge bullish engulfing pattern i pointed out in the rectangle coming off a key level we carried over from the weekly time-frame. Be patient, we will soon be there. I will be pointing out ideal entry, stop loss & take profit levels from the 1 hr and 4 hr time-frames.
4 HR TIME-FRAME The 0.66974 level is a very crucial are of interest We should be looking to make a buy entry here cos i feel price will come back to retest it before continuing on the uptrend. Let's confirm by bringing in the fib retracement tool. Shall we? You can see the 23.6% retracement level agrees with the projection. So, 0.66974 is an ideal entry level for a buy trade. I guess you get the point now so no need going to the 1 hr time-frame.
So in conclusion.
AUDCHF BUY ENTRY: 0.66974 STOP LOSS: 0.66835 TAKE PROFIT 1: 0.67832 TAKE PROFIT 2: 0.68858 TAKE PROFIT 3: 0.69883
Kindly let me know your thoughts about this analysis. Thanks a lot.
Comment
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Set stop loss for this trade to 0.66451 instead. I feel that is safer & more prudent.
Nice analysis. Technically, AUDCHF is a key bearish reversal zone. In the coming week, we will need some bullish on daily timeframe for a long term buy.