AUD/USD - Bearish 5-0

8 Ara 2016

Wow this is huge, today we have AUD/USD on a 4 hour chart with yet another bearish 5-0 pattern. I'm absolutely loving the look of this setup already!

The measurements for a valid 5-0 pattern are detailed below.
B: 1.13 - 1.618
C: 1.618 - 2.24
D: 0.50

Once price reaches the D point I'll be looking for extra validation before placing the trade.

15 Ara 2016

Not

My entry point was 20 pips off the mark, price dropped heavily due to the Federal Reserve raising the interest rate +0.25% for only the second time since the 2008 financial crisis.

There are three more rate hikes expected during 2017.

15 Ara 2016

Not

Keep an eye on the trendline shown below incase price bounces, safe trading everyone.