AUD/USD pair on bearish run

AUD/USD pair is gradually started to move downwards. I was monitoring it today. Price crossed a prevous demad area quickly.

Figure 01: AUDUSD 1 H chart.

I showed you in my yesterday's blog entry that I missed few long entries along with a very good short entry. That's why I was keeping an eye on this pair. After yesterdays down move, price pull backed to the EMA from the demad area. Then from there it bounced back and passed thrugh the demand area making it a supply area. After passing the supply area price was likely to revisit the area before proceeding further.

In a daily chart, price made a engulfing bear candle at the top of the trend. Price is likely to go down. A shorting opportunity here. Stoch is in the overbought area approaching downwards.


Figure 02: AUD/USD daily chart, "Bearish engulf"

Besides the above mentioned set up, on an hourly chart with another strategy, also a short signal generated. I'll show you the strategy later. So I'm not showing the image. With the daily chart in zoomed out view, price is now at such a place where a short entry is visbly safe.

Figure 03: AUD/USD daily chart

I took the short trade, a little late though. A targetted 1:2 risk reward ratio. With achieving my target, I cleared major portion of my position, kept the rest to run with s/l at BE.

Figure 04: AUD/USD 1H chart

Price was also approaching lower demand area. Here is my 24 pips. I'll let the rest run as I entered into the bear trend near the starting point. Let's see how far it goes.

So far 24 pips today. 14 pips more in EUR/JPY pair. Total 38 pips.