EURAUD at the moment is providing us with both a swing and day trading opportunity which is still developing and might be complete soon. After hitting the strong crucial resistance of 1.63500 level not once but twice in a span of months the pair seemed to be headed towards the next support level that lies in the region of 1.55000.
Have a look at the main chart here as the weekly 50 EMA seems to be present just beneath the weekly candle and can potentially act as a dynamic support. until this weekly 50 EMA is broken convincingly to the downside we then only can confirm that the price is headed to towards that support of 1.55000 level. As i repeat the price has rejected the resistance level of 1.63500 twice and forming a double top chart pattern. This acts as further evidence that the price is headed south for time being and a potential SHORT SWING trading opportunity can only arise given the weekly 50 EMA can be broken convincingly
Now onto the day trading opportunity, have a look at the daily chart below
The red line represent the weekly 50 ema support thats present on the weekly chart. moreover For this day trading opportunity to take place the the price needs to break the daily 50 EMA and slightly retrace before we can make our entry. Our target ofcourse would be the WEEKLY 50 EMA here.
This is just my analysis and shall there be any trade entries i will be posting them in the new thread. Hope this helps. cheers and happy trading