Breakout in sight for AUDUSD?
Have you noticed that most AUD pairs is starting to look very bullish as if the currency value for AUD is going to get stronger.
Here we have the audusd breaking out of a downtrend providing a good trade opportunity. when you look at the chart you will see that right before the breakout there was some resistance, Price did retrace to .618 level but there was a lot of indecision in the market around that level with the doji candle. Price eventually moved high former the first higher low(highlighted in dark green)
so what next? Well i think price may either
1. after forming a higher high retest the rejection area before the breakout(where the doji is and also highlighted in orange)and the continue to price target
2. go straight to price target and then make a retracement. In any case we need two confirmed higher highs before we can enter the trade on the 4 hour timeframe.
Here we have the audusd breaking out of a downtrend providing a good trade opportunity. when you look at the chart you will see that right before the breakout there was some resistance, Price did retrace to .618 level but there was a lot of indecision in the market around that level with the doji candle. Price eventually moved high former the first higher low(highlighted in dark green)
so what next? Well i think price may either
1. after forming a higher high retest the rejection area before the breakout(where the doji is and also highlighted in orange)and the continue to price target
2. go straight to price target and then make a retracement. In any case we need two confirmed higher highs before we can enter the trade on the 4 hour timeframe.