AUD/JPY Uptrend Continuation from AR in Phase A to ST in Phase B
In the Wyckoff Distribution schematics, the transition from Automatic Rally (AR) in Phase A to Secondary Test (ST) in Phase B is crucial for understanding market behavior, especially on higher timeframes like the 12-hour chart of AUD/JPY.
Phase A: Automatic Rally (AR)
In Phase A, the AR is typically the first significant price increase after the Selling Climax (SC). This rally happens because the downward momentum loses steam, and the market begins to rebound, driven by buying pressure from smart money. On the AUD/JPY 12-hour chart, the AR indicates a potential shift in sentiment, showing that institutional players may be testing demand.
Phase B: Secondary Test (ST)
As we move into Phase B, the Secondary Test (ST) is where the market rechecks the demand that emerged during the AR. This phase "builds a cause" for future price moves by oscillating between support and resistance. The market may still look volatile, but the price generally holds above the AR level, which serves as a support zone. Traders can anticipate a gradual continuation of the uptrend if the ST remains above this key support.
Forecast for Uptrend Continuation
Given the Wyckoff pattern on the 12-hour AUD/JPY chart, we expect the uptrend to persist at current levels indicating a stronger upward move to perform the secondary test at levels near the BC. If the pair holds above the AR, a breakout into Phase C may soon follow.
MY ENTRY SCENARIO:
Phase A: Automatic Rally (AR)
In Phase A, the AR is typically the first significant price increase after the Selling Climax (SC). This rally happens because the downward momentum loses steam, and the market begins to rebound, driven by buying pressure from smart money. On the AUD/JPY 12-hour chart, the AR indicates a potential shift in sentiment, showing that institutional players may be testing demand.
Phase B: Secondary Test (ST)
As we move into Phase B, the Secondary Test (ST) is where the market rechecks the demand that emerged during the AR. This phase "builds a cause" for future price moves by oscillating between support and resistance. The market may still look volatile, but the price generally holds above the AR level, which serves as a support zone. Traders can anticipate a gradual continuation of the uptrend if the ST remains above this key support.
Forecast for Uptrend Continuation
Given the Wyckoff pattern on the 12-hour AUD/JPY chart, we expect the uptrend to persist at current levels indicating a stronger upward move to perform the secondary test at levels near the BC. If the pair holds above the AR, a breakout into Phase C may soon follow.
MY ENTRY SCENARIO:
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