AUDUSD - Reversing Long

AUDUSD finally appears to be reversing after a long volatile downtrend here.

It has broken out from the Wyckoff Supply Trendline and is pushing back above the 1:1 log based Fibonacci extension and so this area below was probably all shakeout reversal.

Since breaking out from the trendline it has formed a continuation pattern and so I have my entry at the breakout and stop below the continuation pattern.

Targeting the long term 0.382 retracement from top to bottom which is also last significant resistance is a 7 ratio Risk/Reward trade.

Worth noting also that this reversal seems to be happening in tandem with other /USD pairs hit major support/resistance. DXY potentially just printed a shakeout pattern higher high top and stock indexes may be ready to reverse.

Not advice.

ความคิดเห็น:

AUDUSD has slumped back and moving below the 5m20MA with momentum that it has not before and it doesn't appear to be impulsive enough to the upside so I'm exiting here to further limit risk and will await a better entry.

I think the reversal will come around this 1:1 area. Perhaps there will be a shakeout reversal in that area below before another wave up.