After the Ukraine war started Australian dollar made an attempt to break the daily market structure to the upside as Australia is a top commodity country, but failed to break structure and found resistance at the 0.76 area and formed a double top. Since then the price went back to a downtrend and formed another low. I expect the price to follow the Fibonacci...
As shown on my previous idea that aud/usd could complete the "W" formation, now that formation is made AUD/USD reaching the previous resistant level at 0.78100 and it is likely to come down presenting a short opportunity.
This is not a professional advice just my speculation.
AUDNZD is moving in a bearish channel, it's facing now a high volume resistance and clearly forming a correction pattern which means that price don't want to go up. Seems like we are going down.
The relationship between the Aussie dollar and the Chinese economy is well studied. Clearly, Aussie dollar is a strong proxy for Chinese growth where economic figures should always be looked upon with skepticism. Overall, if the Chinese economy cannot get going, traders will first see this trend in the Aussie dollar.
Aussie moves in trend a lot of the time. It moves between solid support & resistance levels. The price currently as of 22/09/17 is half way between a support and resistance zone. It has hit resistance and now on its way down to support. 1:2 risk reward. Heavy USD news on Tuesday and Wednesday could affect the pair.
I have been waiting for this Aussie to hit this level for weeks. I'm all over this short. Very high probability setup. Although we always have to keep in mind that even those can fail sometimes :)
Stop above the high at 0.7800 and target at about 0.7525. Nice R/R too!
