Monday, 28 March 2011

AUDUSD- short term reversal

We have seen a great double top trade in AUD with a clear rejection of the 1.03 level. The chart below shows the bearish reversal candle and "test" of Fridays high. If you are going to pick tops, these are the kinds of setups you need to focus on. It is only after a failed test of a previous high that a new trend down can ensue.

Look for short term targets of 1.023/1.02. The trend is still up on the longer term timeframes and thus this is a short term fade trade only for now.

AUDUSD 15mins: