Something
very interesting is happening in the EUR/AUD daily and weekly time-frames.
After a long move to the upside the pair has been consolidating sideways for
the past two weeks. Usually that sort of sideways consolidation is a signal
that the move to the upside will continue, but on the other hand we have a very
well-formed shooting star candlestick on the daily time-frame, which is a part of
said consolidation, as well as a very well-formed hanging man candlestick on
the weekly time-frame and both of these candlesticks are signals for a reversal. The end result is that we have a pair of conflicting signals. Which
one of them is the valid one? In my experience it’s usually the signal that occurs
on the longer time-frame, i.e. the hanging man candlestick on the weekly
time-frame. By that logic, the pair
should start falling and its next target will be around 1.5250.
Thank you for pointing this out!Will keep it in mind!
ReplyDeleteLooks like is stuck in a range.
ReplyDelete