AUD/JPY - Bearish 5-0 Short

Australian Dollar/Japanese YenFXCM

Description

⋅ Apr 5, 2017 10:21 AM

I'm back with another 5-0 pattern but this time on the 4h timeframe with AUD/JPY.

Price is currently completing the C point at the minimum 1.618 but it could drop further to 2.24 before making a move towards the PRZ.

The measurements for a valid 5-0 pattern are detailed below.
B: 1.13 - 1.618
C: 1.618 - 2.24
D: 0.50

The 5-0 structure has a perfect reciprocal AB=CD pattern within it, which completes at the 50% retracement level at D.

I hope you all have a great week, don't forget to add me on social media!

Comments

BeauMulder

⋅ Apr 5, 2017 10:44 AM

Lewis are you seeing a retrace to ~84.58 from current price then resume downtrend? Or would you enter short at ~84.00 cheers,

LewisGlasgow

⋅ Apr 5, 2017 10:50 AM

@BeauMulder, I'll be waiting for the entire pattern to complete, going short from around 84.500 after completing the C and D point (similar to the chart shown below).

If the C point completes at 2.24 instead of 1.618, you can buy and then sell... Double trading opportunity :)