AUD/USD: Double top on the trend direction, a possibility for short

29.05.2017 / 01:20

Rating:

AUD/USD

Our expectations: Mid-term downtrend and short-term retracement. Probable decrease after a "double top" formation, breakthrough and test around the neckline resistance. Entry around 0.7450 and stop above the last peak around 0.7523.

Alternative scenario: A breakthrough above the last highs forming the double top will spoil the negative formation and then we will have reasons to enter long.

Comment: The price has gone underneath the figure and has returned to test the neckline. We also have a false breakthrough on the SMA50, which is under the SMA200 - a negative signal.

Price action: fake breakthrough and inside bar - a negative signal.

SL: 0.7523

Jr Trader Ivan Ivanov

Varchev Traders

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AUD/USD: Double top on the trend direction, a possibility for short

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