AUDCHF Top-Down Analysis

2020年11月23日

Hello Traders,

Here is the Top-Down Analysis of AUDCHF (Monthly, Weekly, Daily for direction and 4H for entry) for

Week 48 - Nov 23

M > Price reached monthly resistance level again, 5 times in last 6 months.

W > In its bullish move price is losing momentum while filling-in the wick of last weekly candle. We can see bearish divergence and expect a price drop however price can continue to fill-in weekly candle again.

D > We can see deceleration with price closing the candle with rejection to the downside.

As per COT AUD saw further closure of Long and closure of Short, reducing net positions (now in -ve). We can see closure of Long and addition of Short in last couple of months, making net positions move from 16K to -08K. AXY weakened during the said period but recovered slightly last week. CHF saw closure of both Long and Short, reducing net positions. SXY weakened during the said period however recovered slightly last week. AUD is weakening and continuation of its weakness can push price to the downside.

4H > Price is decelerating in a symmetric triangle and a break to the downside will provide bearish reversal confirmation.

Pair Correlation > AUDCHF has positive correlation with AUDCAD, AUDUSD and AUDJPY and negative correlation with EURAUD.

This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.

Thank You
AP17FX