Watching few pairs closely next week for potential trades, one of them is the AUDUSD as the price forms a bearish three drives pattern(symmetrical waves). The potential reversal zone of the three drives is also near the main long term falling trend line. Slightly above that there is a cluster of horizontal resistance area. Finally, there is a clear bearish divergence on Fisher indicator.
My process is to spot these areas of interest where i will be looking for the trade. But as a trader, i know that patterns will fail, so i prefer to always wait for a final trigger confirmation which in my view increase the chances of setup success dramatically.
Keep posted and have a great weekend and new week. Technician
technician could we see aud-usd & nzd-usd break that historic level resistance that they been trying to for many many months they look threatening !
Technician
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@milkywaay, OF COURSE we could. Trying to forecast is not a good practice in the markets. We draw scenarios and wait for confirmation to increase the chances of the scenario
leghacy
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@Technician, weekly chart is so threatening !!!!!!!!!!!!!!!!!!!!! take a look please!
Swerver
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@milkywaay, All time frames can seem threatening. note that a DAILY or 4 Hour trade can move easily inside a Weekly small move.
This has been in consolidation for 18 months, the triangle is coming to and end soon, but look whats in front of you first and trade what you see.
Consolidation -
Weekly - shows the same consolidation and shows we are at yearly and monthly pivots, all time frames RSI is pointing to overbought Divergent setups.
If we break though wait till this happens and then observe and enter your trade.