Yellow zones- critical zones based on the monthly time frame
Red zones- critical zones based on the daily time frame
Blue zones – critical zones based on the 4h time frame
From the latest COT Futures AUD report, we can see that it is gaining even more strength, while the JPY is starting to decrease its “long” contract sizes. This could be an opportunity
for a close attempt above the daily critical zone near the 75.6 area. The price broke finally from the monthly critical and the closed triangle, which was formed since the second week of June. After the price broke, resistance came from the 0.61 Fibonacci area.
There is 1 main scenario and that is more unlikely to happen:
1. The price going towards the daily critical at the 76.5 zone. Beware the 0.786 Fibonacci retracement (it also aligns with a neckline). If price pushes back a good entry will be near the 75.100 mark.
2. If we see a really strong rejection from the 75.000 area, price may go down towards the 70.000 zone.
Happy Trading!
Red zones- critical zones based on the daily time frame
Blue zones – critical zones based on the 4h time frame
From the latest COT Futures AUD report, we can see that it is gaining even more strength, while the JPY is starting to decrease its “long” contract sizes. This could be an opportunity
for a close attempt above the daily critical zone near the 75.6 area. The price broke finally from the monthly critical and the closed triangle, which was formed since the second week of June. After the price broke, resistance came from the 0.61 Fibonacci area.
There is 1 main scenario and that is more unlikely to happen:
1. The price going towards the daily critical at the 76.5 zone. Beware the 0.786 Fibonacci retracement (it also aligns with a neckline). If price pushes back a good entry will be near the 75.100 mark.
2. If we see a really strong rejection from the 75.000 area, price may go down towards the 70.000 zone.
Happy Trading!