Categories: Technical Analysis

Looking forward to Sell EURAUD after the triangle break

Hello friends,

Last week was a nice one as most of my trade forecasts were successful. I expected some more moves last week as we had Jackson Hole, but there were no major announcements from the event. For this week, we have many interesting opportunities that we discussed in our Weekly forecast video.

Today, there was a bank holiday in UK, so there were no notable swings in the market. However, we have an exciting opportunity developing on EURAUD. EURAUD broke an important short term triangle as shown on the 4H chart below. If this break turns out to be significant, then may present us a short opportunity for EURAUD. We need EURAUD to close below this triangle. After we have a close below this triangle, then we would be looking to enter a short on the retest of the triangle. Alternatively, one can also enter on 4H close below this triangle around 1.4760/80 along with the bearish candle pattern on the 1H chart and bearish divergence on the 4H chart.

Initial target should be around 1.4660 and final target should be daily 20 MA as shown in the chart below. I think we should have a down move equivalent to the channel duplication i.e. around 100 pips, which meets our target. Stop should be triggered on a close again inside the triangle around 1H 20 MA. If you like to run it for some more time, then you can have a stop above the previous high of the triangle.

European and UK session was a bit quiet, but some moves are expected in US session. Little while ago, US Core Durable Goods Orders data was released, which missed the expectation by a handsome margin. USD pressured across the board after the goods data. Dallas Fed Manufacturing Business Index is also scheduled later in the day. Other than this not much of action is expected until tomorrow.

This analysis is taken from today’s Daily Market Forecast, which also includes trade opportunities on: AUDUSD, NZDUSD AND USDJPY
Get it HERE: Vladimir’s Markets Forecast

I wish everyone a successful week. Happy trading!

Vladimir Ribakov

Following 11+ years of trading experience, trading my own accounts as well as for hedge funds and brokerages, I have decided to fulfill my destiny and to personally mentor Forex and Commodities traders. When I released the “Broker Nightmare” (software that hides trades from brokers) 8 years ago, I found an overwhelming number of frustrated people who genuinely wanted to learn how to trade the Forex market, but instead found themselves scammed and misled. Over the years I have also release other trading systems based on my trading strategies, and met a lot of people on my worldwide Forex seminars. We’ve formed a close Forex community and we meet once or twice a year in various locations in Europe.

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