3 weeks up (higher closes) can often form 'drops' in the 4th Weekly timeframe, so there is a potential next week of a reversal down within the 5-day pattern, but that usually happens on Thursday.
Therefore a higher 3-day filter is going to be a perfect set-up on any reversal downwards"
Previous Weekly Report
AUD Weekly and Daily
AUD reversed down into the Weekly 50% level on Monday, found support confirmed with a 'hook' day on Wednesday, and then continued up towards 98 cents into Friday.
AUD 3-day pattern
It started with the sell off on Monday using the 3-day filter with the view that price was coming back into the Weekly 50% level.
As pointed out in the Wednesday Report, expectation of higher prices into the 3-day filter again, but for Thursday to reverse back down, as part of the Weekly 'drop' pattern.
Instead Thursday broke higher, and Friday continued with the trend towards 98 cents.
Next Week: push up into the Weekly highs, which match July's highs, and then look for the usual rotation back down into the timeframe 50% levels.
