USDAUD Structural S/R |Technical Divergence|.618 Fib|Swing High
Evening Traders,
Today’s analysis – USDAUD – formed a double bottom structural with the immediate target swing high upon an S/R flip confirmation.
Points to consider,
- Immediate trend bullish
- Structural support confluence (.618 Fibonacci, 21 MA)
- Local support respected
- Oscillators over-extended
- Swing high target
USDAUD's immediate trend is bullish after breaking a key structural level. A S/R flip retest will confirm support allowing to solidify a bullish bias on the market.
Structural support has multiple technical confluences, the .618 Fibonacci and the 21 MA. Price is highly probable in respecting these technical levels upon a back test.
Current local resistance is being respected, this is a trade location where sell pressure is likely, enhancing the probability of an S/R flip retest.
Both oscillators are over extended, indicating the market is losing immediate momentum, a pullback to the Fibonacci levels will be healthy for the trend.
Overall, in my opinion, a confirmation of structural S/R flip retest will allow for a valid long with defined risk into swing high. Price action is to be used upon discretion and management of the trade.
What are your thoughts?
Thank you for following my work!
And remember,
“There is a huge difference between a good trade and good trading.” – Steve Burns
Today’s analysis – USDAUD – formed a double bottom structural with the immediate target swing high upon an S/R flip confirmation.
Points to consider,
- Immediate trend bullish
- Structural support confluence (.618 Fibonacci, 21 MA)
- Local support respected
- Oscillators over-extended
- Swing high target
USDAUD's immediate trend is bullish after breaking a key structural level. A S/R flip retest will confirm support allowing to solidify a bullish bias on the market.
Structural support has multiple technical confluences, the .618 Fibonacci and the 21 MA. Price is highly probable in respecting these technical levels upon a back test.
Current local resistance is being respected, this is a trade location where sell pressure is likely, enhancing the probability of an S/R flip retest.
Both oscillators are over extended, indicating the market is losing immediate momentum, a pullback to the Fibonacci levels will be healthy for the trend.
Overall, in my opinion, a confirmation of structural S/R flip retest will allow for a valid long with defined risk into swing high. Price action is to be used upon discretion and management of the trade.
What are your thoughts?
Thank you for following my work!
And remember,
“There is a huge difference between a good trade and good trading.” – Steve Burns