Hello everyone this is my idea for AUDUSD on daily time frame .. Few things to keep in mind before we start our analysis and how to trade this pair on our chart and daily time frame .. Price is in a strong uptrend .. and price has broken a long term downtrend as shown in the chart below .. right now price is testing a long term broken uptrend .. this is all in monthly time frame
to see the bigger picture of the trend and what to do … so we are bullish based on monthly time frame however last resistance remain intact before we continue the melt up
Now we discuss on how to trade this pair on daily time frame and plans .. Since we are bullish we wanna only buy this pair not interested in short .. unless fundamental change or strong support break as I explain below ..
You wanna buy from green line to target red line as long as green line hold ( no daily candle close below )
You wanna buy from orange line to target red line as long as orange line hold ( no daily candle close below )
You wanna buy if price breaks red line ( daily candle close above to target 0.85000 ) our stop is daily candle close below red line ) One thing that we should keep in mind in the RSI indicator orange and black line need to hold as support .. else that’s not good for AUDUSD If price make a daily candle close below orange line it will change my view to bearish .. for any question feel free to ask 🙂 and good luck traders