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Buy AUD/USD | Jan 23, 2020

After making two similar upswings and three similar downswings, it seems like AUD/USD stayed above rising trend line of D1/daily time-frame waiting for employment data today. Like last three positive data from AU in Jan, today's released employment change as well as unemployment rate beat expectation too. Having touched the trend line, AUD reacted to upside right from trend-line; which made a nice harmonic scenario in line with previous harmonic up and down swings.

This scenario may form an upswing similar to previous upswings, or it may cause at least 50% retracement against the whole move down.

Note that last three consecutive positive data from AU had caused nice upward move between Jan 10 and Jan 16. Therefore, AUD/USD is more likely to move up in same or stronger manner after this 4th consecutive positive data.



After formation of a classical ABCD reversal pattern (where in CD is 127.2% of BC irrespective of length of AB) on H4 time-frame, the trend has shifted bullish with this upward thrust. This pattern suggests that price may go up and take out C.



Here is what we see on H1 time-frame. It also shows how we are entering.

Risk: The setup will fail if price will fall below point D shown on H4 time-frame.

2 comments

2 Comments


K Trade
K Trade
Jan 23, 2020

Trade active: The buy limit was activated; running in profit now and waiting for target.

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K Trade
K Trade
Jan 23, 2020

Buy limit modified to 0.68595 that is 38.2 of whole move up (not just move up caused by the data today).

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