Zooming into the 2-hour chart of EUR/AUD, the pair's setup looks promising for bulls. The price is nestled comfortably above both the 21 EMA and the 200 SMA , which is a strong indicator of bullish momentum. With the price consolidating after a surge, we have a classic continuation pattern.
Entry Strategy: Look for a buy on a break above the consolidation zone, which is right around 1.6633 – it's a signal that the bulls are taking control again.
Target 1: The first target is at the recent high of 1.66743. This level has acted as resistance before, so expect some pushback.
Target 2: If the momentum continues, aim for the next weekly resistance level at 1.67443.
Keep an eye out for false breakouts – if the price doesn't hold above the consolidation zone on the breakout, reconsider the trade. Set a stop loss below the recent swing low or the 21 EMA, whichever suits your risk profile better. As always, manage your risk and size your position accordingly.
Let's capture the trend.
Entry Strategy: Look for a buy on a break above the consolidation zone, which is right around 1.6633 – it's a signal that the bulls are taking control again.
Target 1: The first target is at the recent high of 1.66743. This level has acted as resistance before, so expect some pushback.
Target 2: If the momentum continues, aim for the next weekly resistance level at 1.67443.
Keep an eye out for false breakouts – if the price doesn't hold above the consolidation zone on the breakout, reconsider the trade. Set a stop loss below the recent swing low or the 21 EMA, whichever suits your risk profile better. As always, manage your risk and size your position accordingly.
Let's capture the trend.
Sheena Lynne