Recent events show the value of the Aussie dollar appreciated in aggressive fashion on Thursday, clearing out several 4hr technical barriers before connecting with 0.7100. It was from this region that price began to stabilize and paint a beautiful array of 4hr selling tails into the close 0.7070.
Consequent to this recent activity, price has very nearly completed the D-leg of a 4hr Harmonic Bat pattern terminating around the 0.7170 area. This is certainly somewhere we’d consider selling from if price reaches this high, since it sits within a daily supply zone coming in at 0.7204-0.7119. We also like the way this Harmonic pattern completes just above the 4hr supply area at 0.7152-0.7120 – this has fakeout written all over it!
That being said, one will need do tread carefully here, as let’s not forget that even though price is currently trending south, we are seeing buying pressure from a weekly demand zone seen at 0.6768-0.6942.
Levels to watch/ live orders:
• Buys: Flat (Stop loss: N/A).
• Sells: 0.7071 Tentative – confirmation required (Stop loss: dependent on where one confirms this level).
Consequent to this recent activity, price has very nearly completed the D-leg of a 4hr Harmonic Bat pattern terminating around the 0.7170 area. This is certainly somewhere we’d consider selling from if price reaches this high, since it sits within a daily supply zone coming in at 0.7204-0.7119. We also like the way this Harmonic pattern completes just above the 4hr supply area at 0.7152-0.7120 – this has fakeout written all over it!
That being said, one will need do tread carefully here, as let’s not forget that even though price is currently trending south, we are seeing buying pressure from a weekly demand zone seen at 0.6768-0.6942.
Levels to watch/ live orders:
• Buys: Flat (Stop loss: N/A).
• Sells: 0.7071 Tentative – confirmation required (Stop loss: dependent on where one confirms this level).
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