AUD DailyAUD along with other currencies followed the same path on Tuesday down towards the Weekly lows.
There was an ideal set-up to take a short positions on Tuesday around 3pm (Sydney time), with price below the filter and coming down from an R41 pip high.
I had to step out yesterday afternoon so I didn't jump on board.
Today:- Wednesday and Weekly lows random support
Brown filter trend guide after 11am which could see price move back into the 3-day filter:- resistance.Note:- if we subcribe to the theory of double low patterns from previous breakouts :- ie breakout of the Weekly lows and continuing down into the lows the following week or 2nd week, then we need to keep in mind that the 3-day filter will eventuatlly breakout or reverse.
This current price action in currencies is playing the 2-timeframe pattern breakout pattern (lower low), which can result a reversal upwards.
Therefore:- 3-day filter resistance with an expectation that a minimum 41 pip reversal, but after that a random pattern during US trading hours.
Either it continues down on Wednesday or breaks higher. (which doesn't suit my trading hours to be trading long positions)
- All Daily forex reports are written before 9.00am Sydney Time, which is approximately 3 hours before Midnight GMT
