hey DnB do you always manage sl on 4h charts?
No I just noticed the daily candle had dropped a lot quickly so I had a peak on the 4 hour and seen all the bearish move was concentrated into one 4 hour candle. You see that all the time with severe news releases, so I just posted what I was looking at when I decided to move my stop.
I just wanted to share with you guys a counter trend signal that Iâve taken on the AUDUSD market.
Straight up I understand how risky counter trend trading can be so if this one doesnât work out I wonât be that disheartened. On the flipside if this trade does kick off it has massive reward potential.
Iâve been waiting for AUDUSD to test this weekly support level all week, when price reached the level we had the bears try to push price underneath. This move was rejected by the market creating that breakout trap effect for the bears.
Now the daily candle closed nice and strong to the bullish side and is excellent in form, plus the fact that we are dealing with a major turning point in the market.
I targeted the previous day low as a retracement entry point, to tighten up my stop loss and now itâs up to market.
Watching this one closely, would have liked to see some bullish price action in fridayâs close but the weekly closed pretty bear heavy.
We knew this signal was a high risk setup, however it wonât be invalidated until the lows are breached. Monday will most likely make or break this signal.
Well the AUSUSD counter trend signal didnât work out, and the AUD bears continue to steamroll the chart.
I manages to get out at a few pips loss using the retracement last session, I thought the bulls were going to pick up and take off but after spotting an aggressive bearish 4 hour candle I cut my losses with that trade.
The candle closed as a small bearish rejection candle, but Iâve missed the entry.
Hey dnb what do you think of eu/us thereâs a bearish engulf bar formed yesturday that looks interesting
Sorry thereâs no chart Iâm at work at moment
Thatâs not a signal, thatâs just a bearish power day. The signal was the bearish rejection candle two days before it.
I see the one you mean just thought being a friday could be a bit of a false signal.
What are your thoughts on signals that occur on Mondays and Fridays
Friday signals can usually be wiped out with weekend gaps and changes in sentiment for the new week but if the signal is good I will still trade it. Monday signals are usually ok but itâs rare for a good signal to form on a monday.
Iâve noticed the best signals form on wednesday and thursday candles.
Yeah I agree the nz looks like its heading down against a few pairs
Looking at some AUD price action again todayâŚ
This is what I call that âperfect trend setupâ. Weâve got a stable trend here, chart looks very buoyant floating on top of the mean value. The EMAs are stable and pointing towards that two oâclock angle which displays healthy trend momentum. Signal rejected a swing point within the trend and closed higher than the open.
If this setup plays out we should net some decent return here, we need it after some recent bad conditions.
AUDCAD has recently stalled after slamming into this weekly support level. However the support level is not producing much of a response from the bulls, each attempted to bounce off here has been overwhelmed by bullish price action. This level has not shown any signs that it is going to hold at all.
Weâve just had a bearish rejection candle form last session where price closed aggressively into the support line. I donât normally trade into weekly levels, but all attempts to bounce off here have failed and now weâve got a bearish signal putting heavy downward pressure on this key level.
If the signal plays out and the bears do breach the line, there is plenty of room for the chart to move to the downside. It will probably be an explosive price action event that has good potential to produce excellent returns.
Taking a look back at the GBPAUD that I spoke about in the previous post, as expected it has taken off nicely. Iâve taken profit at 1:8 which is an excellent return on risk. If you risked $300 on this one then you would have returned an easy $2400.
This was the âtextbook perfectâ setup with a nice stable trend, price floating gracefully above the trend mean value and volatility in one direction only.
Taken profit here because price has started to gap away from the mean value now and I donât want to lose all returns on just made on a retracement. Plus I donât want to start getting greedy either.
The AUD markets have produced some killer trends, EURAUD and AUDCHF moving nicely!
Hello,
can You tell me please what is happening with your website ? Its offline. Thanks
Because the War Room is so busy, the chat room overloaded the servers again.
I just had to purchase a dedicated server for the chat room alone.
It should be fine now.
Great educational thread, DnB! What is your website, I must have missed the link?
Hi there Smallers, our blog can be found at www.dnbforexpriceaction.com
Australian Dollar still looks like itâs heading south. This week the market pushed back over the critical weekly level, but when price hit that 20 EMA value on the daily chart itâs drawn back in the bears.
Notice how this market has been using the 20 EMA as the âtrend containmentâ. When the 20 ema is pointing down like that you donât buy into it. Weâve had a small bearish rejection candle print on the market closing price. This is a really agressive close into the weekly level again and it doesnât look like it will hold.
We will be watching this one next week as the AUD is the big money maker at the moment. Sometimes bearish markets are bad for the economy but they are fantastic for our trading accounts. Traders can watch the 4 hour chart here for bearish price action signals that terminate counter trend rallies, and of course watch the daily chart as well.
Because we are at a nice turning point in this trend, if price can be trigger short trades here we will be positioned in at a great price.
Hey Guys, this AUDUSD short has been triggered with the late bearish momentum seen during the New York trading hours last session.
The bearish activity has also created a bullish price action signal on the EURAUD cross pair.
Because this market is pushing into fresh highs we had to zoom out quite a bit to confirm the support level. The rejection of lower prices, and the support level indicates that the trend is still intact here. This signal will be confirmed if price breaks the highs of the signal candle.
Looking at a classic breakout and retest on the brent crude oil market. I love these breakout and retest, that can really get traders into a trend in the early stages of development.
Crude Oil is subjective to some wild movements I know and it can be hard to nail at times. There is a Bullish Rejection candle confirming that the old resistance level is now acting as new support.
