(Preface: I was supposed to post this blog yesterday, but got sidetracked by other more pressing matters! My apologies, though it’s still a sound blog piece compared to what has happened in the last 24 hours.)
Tuesday 22/2/2011
As mentioned in my previous post I’ve been watching the EURAUD this week for a trade. Here’s a snapshot of the daily chart of the EURAUD. It’s not meant to be a trade recommendation (though I do have a trade order in for myself) more a discussion piece on a particular chart / currency.
EURAUD has been in a storming downtrend for a long time. As you can see from the chart over the Christmas / New year period price based and performed a very nice double bottom before roaming north.
After a stong retrace of approx 950+ pips it reversed south again. It performed a very nice bounce off the 50-62% Fib retrace zone and has been in a consolidating move north. There’s a line of resistance at the 1.3600 level that if broken could lead to a move north.
What do people think?
FXTraderPaul
FXTraderPauls Trading Adventures 
February 23, 2011
forex, FX Trading, FXTrader Paul, Trading, Trading Set-ups