I’m learning to master how to determine an entry point in a pair.
I’m watching AUD/USD, and based on the 5 days NY close chart, the retracement is now going to see some serious support, this is why I entered in this pair on Friday afternoon.
1, This pair is in a huge consolidation box. S/R are 1.02 and 1.06. It is at 1.04 right now.
2, The pair is in a bullish momentum, and double pinbars spotted during the last two days.
3, Fundamentally speaking, there is really nothing suggesting that AUD is going to dip in the visible future. The only huge news is the RBA rates next week, but honestly, with strong numbers from OZ, rates are unlikely to go lower. In fact, my opinion about rates is that unless there is a sharp decline in the economical environment.
The bottom line is that there is no really fundamental information going against the bulls.
What do you think about this trade? Thanks for your opinions!
So you think this pair is in a bullish trend and you have bought a pullback. Sounds like a good idea.
Well, I am not trading AUD/USD nor am I a position trader nor do i care about fundamentals, but on shorter time frames this type of setup works quite well.
It feels like you are a bit late to the party - i already see at least 2 decent and successful pullbacks. I don’t think that it is a reason not to take a trade though. It might also test 1.0350 before it goes up, but if you have sl under this recent support than that is probably good.
Trends do end sometimes… and this has already been like 400 pips rally, so goold luck and take care.
