By: Dima Chernovolov

EUR/AUD continues to fall inside the clear Down Channel chart pattern which was previously identified by Autochartist on the 30-minute charts. Autochartist rates the quality of this Down Channel at the 5-bar level – which is the result of the slow Initial Trend (2 bars), average Uniformity (5 bars) and near-maximum Clarity (9 bars). EUR/AUD is expected to fall further inside this Down Channel – in line with the earlier downward reversal from the powerful resistance area shown below.

02112017dailyfximage1

As can be seen from the weekly EUR/AUD chart below, this Down Channel is following the earlier sharp downward reversal from the powerful resistance area lying between the major resistance level 1.5220 (which also reversed the price in May) and the upper weekly Bollinger Band.  The downward reversal from this resistance area created the weekly Japanese candlesticks reversal pattern Shooting Star. The proximity of this resistance zone and the clear bearish divergence on the weekly Stochastic increase the probability EUR/AUD chart will continue to fall inside this Down Channel.

02112017dailyfximage2

To subscribe to the e-mail alerts feature is quick and easy. Log into the Autochartist platform, click on ‘Alerts & Messaging’, enter your email address, select the market you want covered, select your language, and the time you want to get your report, and you’re done! You will now receive a quick morning technical outlook of the markets.

 

For further information on this and other Autochartist products visit www.autochartist.com

1 Likes
1789 Views

You may also like

Leave A Comment

Please enter your name. Please enter an valid email address. Please enter message.

Sign-up





I accept the Privacy policy, Disclaimer and Conditions of this service

* = Required Field