AUDUSD: 4H Curve Analysis
Here's a breakdown of the current AUDUSD market outlook based on the 4-hour timeframe, followed by my setup for the upcoming downtrend as price action approaches the Supply Zone.
OSCILLATORS OVERVIEW
The oscillators are showing a MIXED picture:
Relative Strength Index (RSI): 59.78, Neutral
Stochastic %K: 76.30, Neutral
Commodity Channel Index (CCI): 104.73, indicating a Sell
MACD Level: 0.00207, indicating a Sell
Momentum: 0.00375, signaling a Buy
The remaining indicators like ADX, Awesome Oscillator, and Williams Percent Range are neutral, suggesting NO SIGNIFICANT DIRECTIONAL BIAS YET.
In summary, the oscillators show a MIXED to NEUTRAL sentiment with no overwhelming momentum in one direction. However, the CCI and MACD hint at potential SELLING pressure as the pair enters OVERBOUGHT conditions.
MOVING AVERAGES OVERVIEW
The moving averages paint a stronger BULLISH picture:
All key moving averages—SMA and EMA across 10, 20, 30, 50, 100, and 200 periods—are in BUY territory. This shows that the medium and long-term trend remains BULLISH for now.
Notably, the Hull Moving Average (9) is showing a SELL signal, potentially signaling a shift in short-term momentum or exhaustion in the uptrend.
The Ichimoku Base Line is NEUTRAL, indicating indecision.
As price enters the Supply Zone (near overbought levels), I'm preparing to enter short positions with a well-defined strategy:
SLO2 @ 0.6845
SLO1 @ 0.6793
TP1 @ 0.6693
TP2 @ 0.6609
TP3 @ 0.6548
TP4 @ 0.6452
BLO1 @ 0.6430
BLO2 @ 0.6374
🚫 For shorts, the stop-loss is set at 0.6872 (pivot high) to protect against unexpected bullish reversals.
🚫 For potential buys, the stop-loss is placed at 0.6348 (pivot low).
This setup capitalizes on a potential downtrend when AUDUSD hits resistance in the Supply Zone, targeting key levels down to 0.6452. Should the downtrend continue, there’s also room for further downside to 0.6374 and below.
Be prepared for the trade to trigger once price action enters overbought territory. I’ll keep you posted on any key updates as the market develops.
Stay strategic and disciplined!
OSCILLATORS OVERVIEW
The oscillators are showing a MIXED picture:
Relative Strength Index (RSI): 59.78, Neutral
Stochastic %K: 76.30, Neutral
Commodity Channel Index (CCI): 104.73, indicating a Sell
MACD Level: 0.00207, indicating a Sell
Momentum: 0.00375, signaling a Buy
The remaining indicators like ADX, Awesome Oscillator, and Williams Percent Range are neutral, suggesting NO SIGNIFICANT DIRECTIONAL BIAS YET.
In summary, the oscillators show a MIXED to NEUTRAL sentiment with no overwhelming momentum in one direction. However, the CCI and MACD hint at potential SELLING pressure as the pair enters OVERBOUGHT conditions.
MOVING AVERAGES OVERVIEW
The moving averages paint a stronger BULLISH picture:
All key moving averages—SMA and EMA across 10, 20, 30, 50, 100, and 200 periods—are in BUY territory. This shows that the medium and long-term trend remains BULLISH for now.
Notably, the Hull Moving Average (9) is showing a SELL signal, potentially signaling a shift in short-term momentum or exhaustion in the uptrend.
The Ichimoku Base Line is NEUTRAL, indicating indecision.
As price enters the Supply Zone (near overbought levels), I'm preparing to enter short positions with a well-defined strategy:
SLO2 @ 0.6845
SLO1 @ 0.6793
TP1 @ 0.6693
TP2 @ 0.6609
TP3 @ 0.6548
TP4 @ 0.6452
BLO1 @ 0.6430
BLO2 @ 0.6374
🚫 For shorts, the stop-loss is set at 0.6872 (pivot high) to protect against unexpected bullish reversals.
🚫 For potential buys, the stop-loss is placed at 0.6348 (pivot low).
This setup capitalizes on a potential downtrend when AUDUSD hits resistance in the Supply Zone, targeting key levels down to 0.6452. Should the downtrend continue, there’s also room for further downside to 0.6374 and below.
Be prepared for the trade to trigger once price action enters overbought territory. I’ll keep you posted on any key updates as the market develops.
Stay strategic and disciplined!
Professor C. E. Ward
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Professor C. E. Ward
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.