Hello,
Guys, I understand that you are missing our EUR/USD discussion, so I promise, that the next week we will dedicate to EUR.
But today's is Friday, besides, AUD gives us two intraday patterns to trade. So, I think that today we will still talk about it.
But next week, as I promise - EUR...
So,
On daily AUD we see that Butterfly with 1.27 target at 1.0222 is still forming. Also market has almost totally erased the previous hard sell-off. This is a bullish sign. Trend is ready to turn bullish, but our confirmed trend is still bearish. Anyway, I think that we should focus on intraday trades and do not hold any position for too long.
On 4 hour chart you can see that market has reached 1.618 exp target near monthly pivot resistance and 1.27 exp. target from another more resent ABC swing. The thrust, that market shows is not very impressive, but still it could be a context for 4-hour B&B "Buy" trade. I expect that market can bounce from 1.0052 area - first 3/8 Fib support. The target, as always - 5/8 Fib resistance from whole retracement move. Also you can use this enter to possess yourself a bit longer - just keep your risk reasonable, and move s/l to b/e as soon market will allow to do that.
On hourly chart you can see, that market has accomplished 3-Drive sell pattern. the minimum target of this pattern is a low between 3d and 2d drives. -This is precise the level where we intend to enter long with 4-hour B&B trade.
Does it confuse you too much?
So , how it could be traded:
1. Enter short with horly 3 drive Sell, when hourly MACD will confirm bear trend. Stop could be placed above the highs, whatever it will be there. If market will accelerate to the upside - do not enter Short. Target - 1.0045-1.0052 area.
2. Then and if 3-drive sell target will be accomplished - drop your time frame to 30-min or even 15- min and watch for Buy signal around 3/8 major Fib support on 4-hour chart. If you see some buy patterns - you can enter Long with B&B trade.