Menu
Brokers
MT4 Forex Brokers
MT5 Forex brokers
PayPal Brokers
Skrill Brokers
Oil Trading Brokers
Gold Trading Brokers
Web Browser Platform
Brokers with CFD Trading
ECN Brokers
Bitcoin FX Brokers
PAMM Forex Brokers
With Cent Accounts
With High Leverage
Cryptocurrency Brokers
Forums
All threads
New threads
New posts
Trending
Search forums
What's new
New threads
New posts
Latest activity
Log in
Register
Search
Search titles only
By:
Search titles only
By:
Menu
Install the app
Install
Reply to thread
Forums
Forex Discussions
Technical Analysis
Elliott Wave Analysis by EWF
JavaScript is disabled. For a better experience, please enable JavaScript in your browser before proceeding.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an
alternative browser
.
Message
[QUOTE="Elliottwave-Forecast, post: 177514, member: 40858"] [B]AUDJPY Technical Analysis[/B] Every trader should always view the market in the "bigger picture" first. Viewing the market starting from a higher time frame down to a lower time frame will offer a trader a clearer picture of the markets and will also allow a trader to ultimately decide which side to trade. [B]AUDJPY Daily Chart : [/B]September 2019 the pair started a sequence of higher highs and higher lows. During this move higher a clear visible bearish wedge breakout pattern formed and terminated at the end of December 2019. Start of 2020 the pair dipped lower then bounced and registered the first lower high which led to a break below the bottom trend line of the wedge pattern signalling that bears/sellers were taking control. A new lower low registered at the end of January 2020 signalling that a possible new trend lower was starting. Price was also trading below the 50 moving average which was another signal for traders to continue looking for SELL opportunities. In February 2020 price retests the 50 moving average and failed to move above it. At the same time, price also entered a support/resistance zone which added more bears to enter the market. After price respected the 50 moving average, I marked the key breakout level (pink) where bears will take back control and push the pair lower. By seeing all this develop on the Daily Chart, before the start of the February 23-28 2020 trading week, a trader would know that the trade setup to watch for was selling AUDJPY. [URL='https://elliottwave-forecast.com/wp-content/uploads/2020/03/audjpy-daily-sell-line-chart-2.28.2020.jpg'][IMG alt="AUDJPY, forex, trading, elliottwave, market, patterns, technical analysis, AidanFX"]https://elliottwave-forecast.com/wp-content/uploads/2020/03/audjpy-daily-sell-line-chart-2.28.2020-1024x617.jpg[/IMG][/URL] [B]AUDJPY 1 Hour Chart : [/B]Once price broke below the key level (pink) the first bearish momentum breakout pattern formed. A bearish momentum breakout pattern requires 3 steps to trigger a SELL. First, a low on price chart forms simultaneously with a low below the 20 level on the Stochastic indicator. Second, a pullback in price that respects the 50 moving average together with a move higher above the 20 level on the Stochastic indicator. And third, SELL on the move below the first step low breakout level only if price respected the 50 moving average and watch for Stochastic indicator to register back below the 20 level to confirm momentum. In the 1 Hour chart below, there were clear multiple breakout selling opportunities where a trader could have sold. AUDJPY moved over 350 pips lower (approximately) during the February 23-28 trading week. [URL='https://elliottwave-forecast.com/wp-content/uploads/2020/03/audjpy-1h-sell-2.28.2020.jpg'][IMG alt="AUDJPY, forex, trading, elliottwave, market, patterns, technical analysis, AidanFX"]https://elliottwave-forecast.com/wp-content/uploads/2020/03/audjpy-1h-sell-2.28.2020-1024x622.jpg[/IMG][/URL] Of course, like any strategy/technique, there will be times when the strategy/technique fails so proper money/risk management should always be used on every trade. Hope you enjoyed this article and follow me on Twitter for updates and questions> @AidanFX or chat me on Skype > EWF Aidan Chan [/QUOTE]
Insert quotes…
Verification
Post reply
Top
Bottom
This site uses cookies to help personalise content, tailor your experience and to keep you logged in if you register.
By continuing to use this site, you are consenting to our use of cookies.
Accept
Learn more…