EUR/AUD has been moving to the upside for weeks but the bullish trend seems finally exhausted as the pair formed a distinct double top on the four-hour time-frame at 1.5755 as well as a pair of hanging man candlesticks on the daily time-frame below that level. Both formations are a good signal for a move to the downside, even a possible trend reversal. If there is, indeed, such a move to the downside, the closest target will likely be at 1.5580, which coincides with the (MA)89 indicator on the four-hour time-frame. If the pair breaks out below that level too it will likely continue falling towards 1.5500 at least.
Friday, 22 June 2018
Thursday, 21 June 2018
GBP/USD moved sharply to the upside today pushed by the fundamentals and after the pair formed a clear doji candlestick on the daily time-frame yesterday at the support at 1.3160. Currently the pair is testing the resistance at 1.3270 and the question is whether there will be a breakout above that level. If there is, the next obvious target is the (MA)89 indicator on the four-hour time-frame, which is at 1.3300. A breakout above that level in turn could lead to a further move to the upside towards 1.3450 or even towards 1.3600, which is the same indicator, but on the daily time-frame. On the other hand, if the pair continues falling and breaks out below the last low at 1.3100 there may be a new move to the downside towards 1.3000.
Wednesday, 20 June 2018
GBP/AUD found some resistance above the (MA)89 indicator at 1.7830 and bounced off from 1.7970, forming a rather impressive shooting star candlestick on the daily time-frame. That candlestick was preceded by a hanging man candlestick on the same time-frame, formed on the aforementioned indicator. If the pair breaks out back below it there will probably be a move to the downside towards 1.7650. On the other hand, if the move to the upside continues and the pair breaks out above 1.7970 it could reach 1.8000 and is likely to break out above that level too. If it does, next target will probably be around 1.8200.