AUD/USD Bull Flag on Bull Flag (Read Comments and Updates!)
The Aussie Dollar is displaying a nice setup for long trades:
1) We can see a broken bull flag (outlined in pink) that has already been retested.
2) On top of the large pink bull flag, we see a secondary bull flag (outlined in blue) that has not yet been broken.
3) RSI is NOT in overbought territory, which gives us room for further bullish moves.
Trade Setup
Higher Risk: Open buy now, set stop loss below .706
Lower Risk: Wait for break of blue bull flag and set stop loss below .714
Take Profit Levels are shown in red and labeled in black text boxes.
By structure swap rule, these TPs are previous supports that should become future resistance levels.
1) We can see a broken bull flag (outlined in pink) that has already been retested.
2) On top of the large pink bull flag, we see a secondary bull flag (outlined in blue) that has not yet been broken.
3) RSI is NOT in overbought territory, which gives us room for further bullish moves.
Trade Setup
Higher Risk: Open buy now, set stop loss below .706
Lower Risk: Wait for break of blue bull flag and set stop loss below .714
Take Profit Levels are shown in red and labeled in black text boxes.
By structure swap rule, these TPs are previous supports that should become future resistance levels.
Comment:
Take profit 1 hit!
Comment:
Take Profit 2 hit!
Comment:
We see a nice retest and bounce off of the .72 level. I expect further movement upward
Take Profit Levels are the black horizontal lines labeled with black text.
Support levels (Stop loss) are the red horizontal lines that are unlabeled. I mention the exact price levels for SL above.