Hey team,
As AUD/USD dropped back below daily resistance, the pair was set up for a potential short.
If you're a reader of my analysis, you'll already have the zones I'm referring to on your charts.
If you're new to LeoFinance however, you can simply click the link in the paragraph above to go back and follow our Aussie dollar narrative or simply check out the quoted daily chart below:
AUD/USD Hourly:
All we're looking at here is a retest of short term support as resistance.
With price already below higher time frame resistance, we only want to be playing from the short side and this zone offered an opportunity to short.
Take a look at how this one has played out on the updated Aussie hourly below:
AUD/USD Hourly Updated:
This is yet another example of the market showing us that we don't have to be first to make money as a forex day trader.
Price gave you THREE chances to get short off this short term zone, each time never pushing above the intraday zone, let alone the daily zone where our stops were placed.
As you can see, the bears eventually took control and there was an easy 1:3 risk:reward payout pretty much no matter where you put your stop on this one.
Happy days.
Best of probabilities to you,
Dane.
FOREX BROKR | LeoFinance Blog
Daily market analysis.