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Aussie Dollar (AUD/USD) Complex Short Setup

Short
FX:AUDUSD   Australian Dollar / U.S. Dollar
Aussie Dollar has a complex setup coming up, However, Once we understand the structure is no longer so complex.

Looking at price from the current 4-hour timeframe, Price has the potential of creating a solid head and shoulders pattern should it continue to fall. The only barrier we have currently is at 0.69500 where there is a clear S&R which has been tested multiple times. I must admit that I took an early short entry based a bearish engulfing candle that has formed on the H1 timeframe, My stops are currently at break even and now I wait for a second entry opportunity if price manages to break 0.69500.

We see that the current lower high we are facing also has come from a higher resistance at 0.70478, It only makes sense from my point of view that price creates a lower low from here, Now as always, nothing is a sure thing and we can only control our risk and ourselves. So manage accordingly,

I am looking to take profit at 0.68600 as this is a nice structural area on the daily timeframe. Let's monitor and see how this plays out.

Renaldo Philander.

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