EURAUD - Trendline is subjective, the Kumo is not. Small short
Weekly:
- Ichimoku setup is bearish, all average lines point down. Price retested the bottom of a thick Kumo. Based on past Chikou points, 1,4300+ should start to act as bearish support, but of course we can not exclude further correction up to stronger supp/ress level at 1,4530.
- Heikin Ashi setup is counter bullish, with green candle body, haDelta/SMA3 (above zero) and HA Oscillator are both supportive.
Daily:
- The bearish trendline can be subjective (should we start at candle body ignoring the first spike, or should we start from the wick?), but let's say the bearish trend still holds.
- Ichimoku setup has changed to neutral, with some bullish bias inside, but where to try a short with tight stop if not at the top of the Kumo support/resistance? Anyway, please keep in mind, that while trendlines can be subjective, the Kumo is not! This means if Price breaks above 1,4350, shorts must be strictly stopped.
- Heikin Ashi signals the very agressive short term bullish bias has started to chill down. haDelta reached extreme high, turning back below SMA3 now. It will take a few more days before we can see a bearish Heikin Ashi candle, if that happens at all. Right now we can not predict if price will be able to break back below the Kumo and Kijun Sen (1,4050)
I enterred small short in 1,4275-1,4305 range, with a stop above 1,4370. It is not the best setup of my life, but I give it a chance with less risk allocated.
- Ichimoku setup is bearish, all average lines point down. Price retested the bottom of a thick Kumo. Based on past Chikou points, 1,4300+ should start to act as bearish support, but of course we can not exclude further correction up to stronger supp/ress level at 1,4530.
- Heikin Ashi setup is counter bullish, with green candle body, haDelta/SMA3 (above zero) and HA Oscillator are both supportive.
Daily:
- The bearish trendline can be subjective (should we start at candle body ignoring the first spike, or should we start from the wick?), but let's say the bearish trend still holds.
- Ichimoku setup has changed to neutral, with some bullish bias inside, but where to try a short with tight stop if not at the top of the Kumo support/resistance? Anyway, please keep in mind, that while trendlines can be subjective, the Kumo is not! This means if Price breaks above 1,4350, shorts must be strictly stopped.
- Heikin Ashi signals the very agressive short term bullish bias has started to chill down. haDelta reached extreme high, turning back below SMA3 now. It will take a few more days before we can see a bearish Heikin Ashi candle, if that happens at all. Right now we can not predict if price will be able to break back below the Kumo and Kijun Sen (1,4050)
I enterred small short in 1,4275-1,4305 range, with a stop above 1,4370. It is not the best setup of my life, but I give it a chance with less risk allocated.