Down under with the Aussie Again.

Good evening Dynamic Traders,

Tonights currency pair is the AUDUSD.

On the daily timeframe chart below, we can see that price action has taken it to the trendline, and I am therefore keeping it in my watchlist for possibly swing trading this, off this timescale, but bearing in mind that we have had downward movement since july last year, and so will engage my filters taught by 'The Dynamic Trader' courses, if I am to enter long on this. More than once over the last couple of months, fib. reversals have been hit and so this is why I am keeping a close eye on it for a possible long entry in the future, but I will treat it very cautiously as we are still in a downtrend at present, thus enforcing the use of our ESLT if promted.

If we now go down to the 4 hour timeframe chart below, we can see we are at a former resistance with the last candle which is also a doji albeit small, together with the figure, and also a breather level for the downtrend and thrown in the mix is an OB Stochastic which has not crossed down yet. Depending on your stance, a good short opportunity is in the frame here.

As always please do your own analysis before entering any trades.














Charts courtesy of TradeStation,

Good luck for the week ahead,

Clayton Farnworth.