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Homework: EURAUD Daily Chart

This is going to be a Daily Chart reading to get a more summarized perspective. Remember that for entries we use the 1HR and is the 1HR is too messy we use the 4HR.


This is the story:

  1. We have hit a Major Support Level coming from the weekly chart

  2. The down wave to hit that support level was quite fast without any justification (for example a hard time to move up wave before).

  3. The reaction to that fast down move was a fast up move which means immediate reaction. We had buyers at the bottom and sellers at the top when we reached the Supply line

  4. Same story again buyers and sellers.

  5. As we are coming down it looks that we are having a hard time, SI numbers are increasing 73.8 and 162.1 (highest SI in all the down moves) and this is telling me that is a lot volume down there without the price moving (probable accumulation).

In order to be sure that this is accumulation we will be patient and use the FOLLOW strategy, let the price move first and break some levels or wait for some clear evidence on the 1HR chart.



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