Chart Observations:
1. Trend Direction:
The market has shifted from a strong downtrend to a bullish reversal.
A clean breakout from the consolidation zone (red resistance zone turned support) confirms bullish momentum.
2. Moving Averages:
Price is above all EMAs (red, yellow, green, blue lines), indicating bullish alignment.
The EMAs are fanned out and sloping upward — further confluence for bullish continuation.
3. Support/Resistance Zones:
The red zone around 0.63875–0.64100 now acts as strong support.
Next key resistance: 0.65425 (Take Profit area in the trade).
4. Entry Confirmation:
The green bullish candle just broke out of resistance with volume and momentum.
A strong bullish engulfing pattern near the breakout point.
5. Risk/Reward Setup:
Stop Loss: 0.63875
Entry: Around 0.64120
Take Profit: 0.65425
R:R ratio is healthy (~2:1 or more).
Additional Notes:
If price dips back into the red zone and closes below 0.63875 on a 4H candle — exit the trade.
If price consolidates near current levels, wait for another bullish candle to enter or add to position.
Always monitor DXY and fundamentals (US data releases, RBA tone) for confirmation.
1. Trend Direction:
The market has shifted from a strong downtrend to a bullish reversal.
A clean breakout from the consolidation zone (red resistance zone turned support) confirms bullish momentum.
2. Moving Averages:
Price is above all EMAs (red, yellow, green, blue lines), indicating bullish alignment.
The EMAs are fanned out and sloping upward — further confluence for bullish continuation.
3. Support/Resistance Zones:
The red zone around 0.63875–0.64100 now acts as strong support.
Next key resistance: 0.65425 (Take Profit area in the trade).
4. Entry Confirmation:
The green bullish candle just broke out of resistance with volume and momentum.
A strong bullish engulfing pattern near the breakout point.
5. Risk/Reward Setup:
Stop Loss: 0.63875
Entry: Around 0.64120
Take Profit: 0.65425
R:R ratio is healthy (~2:1 or more).
Additional Notes:
If price dips back into the red zone and closes below 0.63875 on a 4H candle — exit the trade.
If price consolidates near current levels, wait for another bullish candle to enter or add to position.
Always monitor DXY and fundamentals (US data releases, RBA tone) for confirmation.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.