AUDUSD Inverted Head & Shoulders

28 Oca 2016

We have an inverted head & shoulders pattern that has formed on the 240s and daily. We have now broken the neckline so once we have a full trading range above this line or the neckline acts as support, a long trade could be worth while. From a measuring perspective the height of the head is 218 pips thus this could offer a nice risk reward ratio of around 4.5 with the stop just below the neckline. Ideally enter the trade as close to 0.7050 as possible.