AUDNZD, Reversal Building, Trade When Formation Confirmed!

Hello Taders Investors And Community,

Welcome to this analysis where we are looking at AUDNZD 4-Hour Timeframe Perspective, the recent price-action, the current formation building, what to expect the next times and how to handle a possible confirmation of the formation with appropriate trading which is important in such market situations.

Looking at the chart you can watch there that AUDNZD is building this preliminary rising-triangle-formation marked in blue where the price already touched the upper and lower boundary several times also with a matching wave count ending with the current wave in the structure. Overall this is a bearish reversal formation pointing to the confirmed downside when the price closes properly below the lower boundary of the formation with a second touch of the lower boundary before a continuation to the downside can be considered. When looking on the bullish perspective the possibility is highly marginal the bearish one much more likely nevertheless a close above the higher boundary can invalidate the bearish scenario and therefore the formation. This breakdown can be traded either aggressively or conservative, the aggressive approach is an immediate entry in the triangle, the conservative is waiting on the confirmation then placing the order, the first target will be the 200-EMA marked in blue when this level does not hold the pair has increased potential to move lower.

In this manner, thank you for watching the analysis, support for more market insight, and all the best!

Information provided is only educational and should not be used to take action in the market.

Comment:

ANALYSIS UPDATE: AUDNZD emerged with heavy bearish pressure momentum to form the pullback and breakout below the lower boundaries.

Since AUDNZD completed the main ascending triangle it accelerated with heavy bearish continuations reaching the final target zones.