AUDUSD at the end of March breaks the downtrend and forms a triangle, the resistance of which was the strong level of 0.67400. But false breakdowns are forming against the lines of the figure. What's next?
On the chart the market maker forms a trap - a false breakdown of resistance and an attempt to break the level of support. After the liquidity is captured, the price can continue its movement in one direction or the other. If the price makes it back to the rising support, the currency pair will move towards the resistance and continue growing towards 0.69500, but if the price breaks the support, it will fall towards 0.65700.
Strong resistances: 0.67250, 0.6930 Strong support levels: 0.6650 (breakthrough strategy), 0.6560 Still I mostly expect the retest of the resistance at 0.67250 with the subsequent breakthrough and growth to the key liquidity area.
Makes sense, AUDUSD should follow the stock market and remains bullish!
Gold-Tech
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Thanks, keep up the good work) Love your analysis
Hociemocie
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Thanks for the follow-up, agree & have been following closely! My thoughts: .6730 is still the key level to break then retest for the major move up. COT data and fear & greed 100% support this. Also, on the daily chart I calculate Mama Dollar has almost a 75% chance of breaking the PQL with a BOS @ 100.68. Closer in I calculate Aussie has a 55% chance of breaking the Previous Daily Low @ .6658 in the 4H chart and an 80% chance of a Shift in Market Structure at .7155 vs. a 20% CHoCH @ .6566. I will be taking every long opportunity that presents itself and think about TP after we clear & retest .7130. 🍀