AUD/USD Short - Trade Recap

### AUD/USD Key Points

• AUD/USD fundamentals saying the opposite to what price is doing.
• Confluence of higher time frame resistance starting to cap price.
• Short term retest of intrday level held and paid out.

AUD/USD Technical Analysis

Morning team,

Back at it for another week. We absolutely crushed last week, so let's keep the good times rolling, hey!

Speaking of last week, we ended it watching AUD/USD at higher time frame resistance. We saw that while price had been rallying, all the fundamentals were pointing towards a lower Aussie and a push into higher time frame resistance was our chance to possibly get short.

Click the link in the above paragraph to look at the original higher time frame setup, but essentially we had a strong confluence of resistance on the 4 hourly. Price has hit a horizontal resistance zone, as well as the upper trend line from a rising wedge.

As for the trade setup, here is an extract of my thoughts on Friday:

So with fundamentals telling us that price should be heading lower and the higher time frame chart at clear resistance, it might be time to start to look for a short entry.

I've zoomed into the AUD/USD 15 minute chart below:

You can see that after dropping off higher time frame resistance, price first stalled at the candle where I have drawn the grey box from. This is the intrday short term level that I'm now looking to manage my risk around.

And manage my risk around, I did...

Price spent the whole of Friday's trading day slowly grinding away from the intrday zone, before the NFP print gave the USD side of the pair the kick it needed, sending AUD/USD to the floor.

As we discussed on Friday, whether you chose to manage your risk conservatively by placing your stop above the higher time frame zone, or aggressively by placing your stop just above the intrday zone, you would have made money on this trade.

Good to hear that some of you made some money off this one and crushed the week with me. Now we go again!

Best of probabilities to you,

Dane.

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