AUDUSD H4 – Trading down-trendline +159Pips
In the previous AUDUSD analysis I noticed that there was no selling climax at the bottom of the market. Also there was no accumulation area. It means that bear move is not finished yet. When the price crossed down-trendline – we have 2 weak signals. Major supply (very weak signal on the top of the market) – this is an up-thrust which happened on the news that Fed postpones rate hike.
- At first background was neutral (right after weak signals). I waited until it turned to weak in the process of moving down.
- Very weak signal above the trendline.
- Dynamic trend turned from green to red
- Entry in an up-bar (price closed above dynamic trend) after background turned to weak
- Exit after strong signal (Demand) which appeared near long term support.