AUDUSD Double Top Pattern and Trendline Break.

Hey folks! I know it has been awhile! I have been watching the equity markets and the developments there and what it means in broad terms. A few weeks back, I spoke about how the history of human civilization was going to be determined in the next upcoming weeks. Well we are at a key juncture now on the equity markets. It is make or break and I will keep you all updated on that.

In terms of the Forex markets, it has been a bit dull for moves but things are now shaking. EURGBP, GBPCHF and GBPJPY are some pairs I have been watching and have made their moves. The breaks came on a Friday so I am going to watch these for the week ahead.



I took the NZDUSD this week on the confirmation of the double top pattern at a key flip/resistance zone. I waited for the break of support and the higher low at 0.60. I liked the lower bounce pattern there which formed the lower high swing to work with. Another lower high swing was formed at 0.6013. As long as we remain below here, we are in a downtrend. We are testing an important flip zone right now, but I think the major zone is at 0.5850.

What I want to talk about is the AUDUSD set up for next week. Very similar to NZDUSD and let's hope it plays out the same. Beautiful double top pattern, but I am watching the flip/support zone at around 0.6380 to break. Ideally, next week we see a test of that support, bounce up, and then sell off like we saw with NZDUSD. Yes, you could be short already with the trendline break and retest. I am not a big fan of trendlines but I think they are worth watching. I prefer the break of a higher low swing to nullify the uptrend as are the principles of market structure.

Be patient. Await the break for next week. Target would be 0.6200.