Looking at the markets after the New York close of last session we’ve spotted a potential bearish trade opportunity. The Bearish Rejection signal that formed on the AUDCHF Daily chart formed as price rallyed and tested the significant weekly resistance level that is marked on the chart, and was rejected by bearish price action.
Weekly levels are generally great turning points in the market and when they are coupled with Daily price action signals, you get a high probability trade setup. If price can breakdown below the rejection candle then we could see a nice bearish move towards the next weekly support level. As discussed the our Price Action War Room, the stop needed is a little wide so retracement entries for those who have taken the Price Action Protocol course could be utilized here.
Weekly levels are generally great turning points in the market and when they are coupled with Daily price action signals, you get a high probability trade setup. If price can breakdown below the rejection candle then we could see a nice bearish move towards the next weekly support level. As discussed the our Price Action War Room, the stop needed is a little wide so retracement entries for those who have taken the Price Action Protocol course could be utilized here.