AUDUSD - Potential Short on the 4H
In this chart we can see that the AUDUSD is in a key area sitting directly below weekly resistance (check the weekly chart for more clarity on this). Judging by the move made on the DXY last week, we can see that the weekly candle on the DXY closed level in line with a support area. Because of this, I believe that we may see a temporary relief in the sell off of the USD and therefore a drop in other pairs - like the AUDUSD. This short is only for the near term as long term I am personally still bullish on this pair.
As the weekly candle closed below the weekly resistance level on this chart, I would like to see a short position take us to 0.65 as a first target, and 0.64 as an extended target. Buying volume has been decreasing over the last week on this pair with higher spikes in selling volume. My overall opinion is the likelihood of this pair seeing a short term relief to its recent incredible bull run is high. I will be looking for shorts around the 0.665-0.67 area with targets around the 0.65/0.64 ranges.
Good luck.
As the weekly candle closed below the weekly resistance level on this chart, I would like to see a short position take us to 0.65 as a first target, and 0.64 as an extended target. Buying volume has been decreasing over the last week on this pair with higher spikes in selling volume. My overall opinion is the likelihood of this pair seeing a short term relief to its recent incredible bull run is high. I will be looking for shorts around the 0.665-0.67 area with targets around the 0.65/0.64 ranges.
Good luck.
Comment:
DXY daily chart for reference:
Comment:
AUDUSD daily chart for reference:
Order cancelled:
This setup has now unfortunately been invalidated. No possible entries for this setup came to fruition. On to the next one!