AUD/USD Daily Update, Thu 24, February 2011
Hello everybody,
So, guys, why is so low activity currently here with AUD analysis?
Do you not very interested in this pair?
Meantime it has a lot of possibilities and good context for trading. Our yesterday expectations has been accomplished almost at 100%. B&B context has worked out nice and if you still have tried to anticipate butterfly and entered long, as we 've discussed - you should have now nice position. But I think that it's time to close it
1. On daily time frame, although we can see that Butterfly "Sell" is forming, with the target at 1.0221. The previous nasty bearish bar makes me think, that this pattern will fail and we should expect the breakout of the trend line. Besides, daily trend is bearish. But not only because of that...
2. ... also because of Gartley "222" Sell pattern on 4 hour chart. With the nearest target at 0.9949 and 100% Fib expansion target at 0.9877 - that assumes breakout of the daily wedge.
3. At the same time, if you still bullish, very short-term perspective assumes the possibility for horly B&B "Buy" trade. You can also use this context for longer posession with hope that market will accomplished hourly Butterfly "Sell' With target at 1.0096.
So, here is two possibilities for trading:
1. If you're bullish - buy with S/l below 0.9990, t/p at 1.0045. Or use this enter for anticipation of completing Butterfly pattern 1.0096. Move your s/l to b/e as soon as market will allow to do that - take your profit quick.
2. If you're bearish - you may trade "222" pattern.
Sell from 1.0045 area with s/l above the highs 1.0065. Target 0.9950 or even 0.9877. Also move your s/l to b/e as soon as possible.
I think that bearish context has more odds to success than bullish (except very fast hourly B&B "Buy" trade).
And DO NOT MARRY ANY POSITION CURRENTLY.