AUDUSD Short Potential

16 בספט׳ 2019

Last week saw us close above 0.6820 that in most circumstances would see us focusing on just the long trades but it is the Daily timeframe that has us considering the shorts. We have seen price storm back up to 0.6900 that could be treated as our previous area of breakout back in July and we may have broken back to that area to find our resistance on route to new lows. If this is the case then we will have successfully created a lower low and a lower high leading us to focus on the short trades and a new leg of downside momentum. Our entry to ensure we are keeping probability on our side and allowing the charts to give us some more confidence in the position will need to be a break back below 0.6820 once this area has been broken we should see the pair drop off to 0.67600 without any real trouble and then a return to the previous lows at 0.6680.