Technical break down on a short set up AUDUSD
Updated
Good evening traders!
As the title says I'm looking for short setups on the Aussie/Dollar and here's why...
Similar to the NZDUSD it has just broken to the downside of bullish trend line and is now potentially creating a bearish channel. On the daily chart we have hit a nice level of horizontal resistance looking left which coincides with the bearish channel and now appears to be forming what could be a high test daily candle.
Now for entry reasons...
On the the 4 hour chart we have a double top forming with bearish divergence and deceleration, you can short the top, the break of the neckline, the retest of the neckline or wait for a 2618. We also have a phase line which connects the bottom of the channel to the top, you could also short the break of this.
Whether you're a conservative or aggressive trader this setup could offer a fantastic risk reward with targets at previous structure.
As the title says I'm looking for short setups on the Aussie/Dollar and here's why...
Similar to the NZDUSD it has just broken to the downside of bullish trend line and is now potentially creating a bearish channel. On the daily chart we have hit a nice level of horizontal resistance looking left which coincides with the bearish channel and now appears to be forming what could be a high test daily candle.
Now for entry reasons...
On the the 4 hour chart we have a double top forming with bearish divergence and deceleration, you can short the top, the break of the neckline, the retest of the neckline or wait for a 2618. We also have a phase line which connects the bottom of the channel to the top, you could also short the break of this.
Whether you're a conservative or aggressive trader this setup could offer a fantastic risk reward with targets at previous structure.
Note
Double top now invalidNote
1H Bearish divergence continued on new high, broken trend line, upper channel still holding on daily.Note
Also made a mistake on lower channel line, redrawn here... Note
Note
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