AUDUSD Short Trade

Randy BalcomTrades0 Comments

This is a “wait and see trade”. meaning price has to form a Dynamic Reversal Trade (My version of a double top) next week before you can take the trade.

  • As you can see in the weekly chart below, the AUD USD has been in a downtrend for months and does not appear to be ending.
  • Price has spiked up on the daily chart and has formed a long tail candle at an area of resistance.
  • The MACDBB is “out to lunch”, meaning the green dots have gotten so far out of the bands that there is a high probability of a reversal.
  • The 4 hour has a nice clean Dynamic Short Zone underneath the current price.
  • What we do not have yet, is a signal on the 4 hour or daily to initiate a reversal trade.

What I would like to see is for price on the 4 hour to form a clean reversal and then take a short trade down to the recent lows on the weekly. You can set up a price alert to let you know when the Aussi has done its magic.

Click here for help setting price alerts.

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