AUD Weekly and 3-day pattern.
AUD moved higher as US markets rallied, which often puts pressure on the USD.
AUD has moved back and retested the 5-day breakout on Monday along with the 3-day filter.
The only conclusion I can see is price continuing down from the Weekly 50% level and the 5-day 50% level.
Don’t short trade above the 3-day filter.
Euro Weekly and 3-day pattern
As pointed in yesterday’s report, I’m bearish on the Euro but I would like a swing up into the 3-day filter to take a short trade down.
That would have been ideal if the Euro rallied on Tuesday.
Now the 3-day filter has dropped to 1.3001.
But whenever the 3-day filter drops below the 5-day 50% level, there is actually more chance that price can breakout during the US timezone and continue back towards the 5-day highs.
Trade on the side of the 3-day filter
GBP Weekly and 3-day pattern.
GBP has risen up like the AUD and has retested Monday’s breakout and the 5-day 50% level and stalled.
If price is going to continue down then it should sell down from the 3-day filter.
However, this could also be a HOOK pattern over the Weekly 50% level.
If it’s a HOOK pattern then it’s going to find support around 1.4657 and it will need to break the 3-day filter and 5-day 50% level.
Trade on the side of 1.4660
- All Daily forex reports are written aftr 11.00am Sydney Time, which is approximately Midnight GMT
