AUDUSD short set up with a simple trendline breakout on hourly in harmony with the bearish trend on all the higher timeframes.
Zooming in on a trade from the highest timeframe to the tradable hourly or H4 timeframe for a precise entry is one of the most difficult tasks when it comes to trading. But if you know exactly what to look for, its not that a difficult task after all.
The trick is to draw one price channel per timeframe.
My entry was at 0.73006 last evening, and I my stops are already at break even. My target is at 0.71677 which is the 1.618 fib extension of the last 3 day bearish impulse swing.
Well, my analysis shows a high probability of price going down as it has broken many ‘bearish’ channels to the downside on many higher timeframes. In fact I took the trade at the retracement to the H4 channel support after it had been broken on the 24th. This was a trade in the making for more than 2 days.
Ideally we will have a hourly close below the 0.72597 – previous pivot point. This will give more confidence to the trade.