EURAUD in an important horizontal zone currently. Price action has just begun to reject the above structure. If price continues to make lower highs, this will be a nice trade either for a scalp of 20-30 pips, or a swing trade back down to the below zone. On the contrary, although price has not broken this zone since June, I wouldn't be surprised if price attempted to break this zone. As you can see, EURAUD likes to trade within and break out of triangular support/resistance formations. Looking back in the chart, whenever EA broke one of these formations this year, it has traded away from the formation for some time, before returning to similar horizontal levels. I would not be surprised if price broke this horizontal zone that it is in, retested off of the top and ran up for a couple hundred pips based off the triangular formation theory. Regardless, my position is short for a 20-30 pip TP because of the consistent rejection of price action in this area. I will be setting a sell limit to get a better enter and just focusing on scalping this trade for now since there are only 2 days left this week. Also beware that there is some high impact EUR news with the ECB President Lagarde speaking at 12pm New York time. I would also consider waiting to see what the results of this meeting will be before taking a position. I will also be setting a buy stop on the above side of this zone in an effort to be prepared for a potential bullish runner. If considering taking this buy stop setup, ensure that your buy stop is out of the reach of previous 'false breaks' of this horizontal zone, since a buy stop to close to the zone could trigger and take you the wrong way.