A 250+ Pip Trading Opportunity
Forming On EURAUD
Tues 6th June 2023 : Daily Currency Strength Analysis
Today we’re looking at Trading Setups in:
- EURAUD (Primary Focus Pair)
- EURCAD (Covered In Video)
- AUDUSD (Covered In Video)
Primary Focus Pair: Trade Plan & Details
| EURAUD Short | Price | Pips +/- | R/R (Max/Min) |
|---|---|---|---|
| Entry Price | 1.6175 | ||
| Stop Loss (Min) | 1.6290 | -115 Pips | 1: 2.4 |
| Stop Loss (Max) | 1.6375 | -200 Pips | 1: 1.3 |
| Profit 1 | 1.5900 | +275 Pips | |
| Profit 2 |
Details:
AUD enters our live forex strength vs weakness tables as the strongest currency.
This comes after news of a rate hike increase from Australia’s central bank.
If AUD strength continues we can pair it with a weaker currency such as EURO.
When observing price action on EURAUD, we can see price forming a head and shoulders pattern at key resistance of 1.6800, with the neckline at 1.6400.
Since then, price has been trading lower with support of 1.6200 being breached.
This break to the downside will offer sellers an opportunity to get short on price pullbacks.
A support zone at 1.5900 could be used for targets for sellers, this area has featured as both support and resistance over the past year.
For further confluence, a daily 200 moving average is resting below key support and could make a decent second target for traders selling EURAUD.
Technical Observations:
- EUR is W1 and AUD is S1 on the day traders table.
- EURAUD has traded through recent support of 1.6200.
- Price action traders could spot the head and shoulders reversal pattern.
- Sellers could look to target key support at 1.5900.
Todays 9am (BST) Forex Strength Vs Weakness Tables:
