Ransquawk

EURAUD – in the previous analysis (29/03) I described the formation of the Bear Market (Outside Bar), which as a typical bearish formation pointing to declines.
The predictions proved correct, the price left the formation thru the bottom and reached the level of the nearest local support of 1.5980 (the blue zone). According to the previous analysis, the price on the support turned back and returned to the outside bar, testing its lower limit along the way, where currently (at 00:10) it is located.

EURAUD Daily

On chart H4 I drew the probable price behavior during the next sessions. If the bearish scenario is met, the price behavior in the 1.5980 support zone may determine the fate of this pair. Overcoming this level can open the way to the next support (1.5900) and then to the bottom limit of the growth channel in which the pair moves from the beginning of the year. Re-rejection of this level may signal a return to increases or to longer consolidation.

EURAUD H4 – Breaking the level 1.5900 can be a key to close future for this pair

We should also take into account today’s macro data – at 6:30 the Australian Reserve Bank (RBA) will issue information regarding interest rates and a statement on monetary policy for the coming weeks.

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Since 2010, he has been actively involved in the Forex market up to now. He is a supporter of Price Action and using as few indicators as possible. He believes that the simplicity of the system and consistency in its application is the best way to success in financial markets, and lack of patience is the most frequent cause of failure. Interested in classical systems based on Technical Analysis and in psychology - mechanisms that guide human behavior and conditioning decision making in trading.