OUTLOOK: DAILY CHART
In last weeks technical analysis, I mentioned AUD/USD could present an ideal Long entry (buy opportunity) as there was a three inside up candlestick
pattern forming on the weekly chart. While this candlestick pattern is now confirmed, it's hard to ignore the two bearish pin bars evident on the daily chart (highlighted blue box)
which could see prices reach previous lows around 0.69200 area (Daily support levels). With key Daily, Weekly & Monthly Resistance levels @ 0.72561 being rejected,
expect further downside for AUD/USD.
NOTE: Prices tend to pullback at least 50% of the bearish Pin Bars tail before moving lower - expect a retest of the 0.72300 area before bears take over.
CONCLUSION: BEARISH BIAS
BEAR INDICATORS:
1. Pin Bars - Two long-tailed bearish pin bars evident on daily chart
2. Daily candles reject key resistance level found @ 0.72560 area
3. 4 Hour Chart shows a long tailed bearish Pin Bar
BULL INDICATORS:
1. Weekly Chart - Three Inside up candlestick pattern
2. Daily/Weekly resistance trendline (Descending channel) - price is trading outside these levels
TARGETS:
Target 1: 0.71053
Target 2: 0.69274
STOPS:
1. 0.72850 (Conservative - Above long tail bearish Pin Bar high)
2. 0.72563 (Ambitious - At Key Resistance Level)
In last weeks technical analysis, I mentioned AUD/USD could present an ideal Long entry (buy opportunity) as there was a three inside up candlestick
pattern forming on the weekly chart. While this candlestick pattern is now confirmed, it's hard to ignore the two bearish pin bars evident on the daily chart (highlighted blue box)
which could see prices reach previous lows around 0.69200 area (Daily support levels). With key Daily, Weekly & Monthly Resistance levels @ 0.72561 being rejected,
expect further downside for AUD/USD.
NOTE: Prices tend to pullback at least 50% of the bearish Pin Bars tail before moving lower - expect a retest of the 0.72300 area before bears take over.
CONCLUSION: BEARISH BIAS
BEAR INDICATORS:
1. Pin Bars - Two long-tailed bearish pin bars evident on daily chart
2. Daily candles reject key resistance level found @ 0.72560 area
3. 4 Hour Chart shows a long tailed bearish Pin Bar
BULL INDICATORS:
1. Weekly Chart - Three Inside up candlestick pattern
2. Daily/Weekly resistance trendline (Descending channel) - price is trading outside these levels
TARGETS:
Target 1: 0.71053
Target 2: 0.69274
STOPS:
1. 0.72850 (Conservative - Above long tail bearish Pin Bar high)
2. 0.72563 (Ambitious - At Key Resistance Level)
