Hi guys, this is more of a lesson for those of you who use the Market Barometer. Here is a screen of what the chart looked like before I turned all of the other currencies off:
This is a 4 hour view. Notice the 2 different trend lines. The AUD broke below the first, but has not punched through the second (long term trend line). Before opening a trade, wait for the currency to clear 'all' trend lines (support or resistance if long). Breaking below the short term trend 'will' create a move, but we are more interested in the larger moves (i.e. better risk/reward, etc...).
This is not investment advice, just my opinion(s). Please trade accordingly.
Trade safe and keep an eye on news.
This is a 4 hour view. Notice the 2 different trend lines. The AUD broke below the first, but has not punched through the second (long term trend line). Before opening a trade, wait for the currency to clear 'all' trend lines (support or resistance if long). Breaking below the short term trend 'will' create a move, but we are more interested in the larger moves (i.e. better risk/reward, etc...).
This is not investment advice, just my opinion(s). Please trade accordingly.
Trade safe and keep an eye on news.
Note
We are below the Trend Line now. We should see continued AUD weakness.Note
Expect a short term bounce or pull back, then AUD will continue to weaken (i.e. use the pull back to get a better entry price):Note
When the short term hits 50ish on the pull back, that's a good time to enter a trade 'selling' the AUD.Note
Just like when you are in a trend trade. Prices never go in a straight line, but you know where they will end up. This is a same idea. The larger time frames tell you where you are headed and the short time frame let you know when to expect pull backs and consolidations along the way.
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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.
Related publications
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.