AUDNZD is pretty interesting at this point in time. Right now, we are at a very strong support level and we are waiting for a rebound. We don’t have any confirmation yet.
What does the black lines mean?
We can clearly see that after the ”M formation” was done the currency pair retraced down to strong support (which we also can see on the weekly timeframe). After it retraced down it made a move to the upside but could not make it which we can see with the red wick and then push to the downside. It tried to break it again. But got rejected which we can see with the red wick.
Confirmation and my thoughts?
I personally think that we will see a push to the downside from line A to line B and then a push to the upside. That is where we need to be alert and look for a candlestick pattern, breakout and many more factors.
COT reports
NZD: tradingster.com/cot/futures/fin/112741
AUD: tradingster.com/cot/futures/fin/232741
AUD drastic fall in short positions from 69.975 to 34.130. This can indicate that the hedge funds are ready to open more long positions and make the AUD go higher.
What does the black lines mean?
We can clearly see that after the ”M formation” was done the currency pair retraced down to strong support (which we also can see on the weekly timeframe). After it retraced down it made a move to the upside but could not make it which we can see with the red wick and then push to the downside. It tried to break it again. But got rejected which we can see with the red wick.
Confirmation and my thoughts?
I personally think that we will see a push to the downside from line A to line B and then a push to the upside. That is where we need to be alert and look for a candlestick pattern, breakout and many more factors.
COT reports
NZD: tradingster.com/cot/futures/fin/112741
AUD: tradingster.com/cot/futures/fin/232741
AUD drastic fall in short positions from 69.975 to 34.130. This can indicate that the hedge funds are ready to open more long positions and make the AUD go higher.
Comment:
Rejection possible entry when the 4-hour candle closes