Remember the AUDUSD Price Action signal we posted recently, it’s shown at the bottom of this page if you missed it. This setup just shows how effective trading with price action is and combining it with price mean value and support/resistance.
This bearish rejection signal did form at weekly support and was large enough to stand out from the crowd. Larger signals off strong S/R levels do have the better edge and often work out more times than not. Price has bounced off weekly resistance and sold off on the back of the price action signal now heading for weekly support.
Price action traders who follow the Price Action Protocol and took this signal can now decide whether they want to take profits or hold for even longer term.
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Looking over the charts for the end of the week, I’ve spotted a Bearish Rejection Candle Price Action Reversal signal.
This is a counter-trend signal so only the advanced price action traders should be considering trading this one because this market has shown to be very strong after QE3 was announced. However on the back of that news price has accelerated sharply away from it’s mean value and hit major resistance, where one of the signals from the Price Action Protocol has formed.
If Monday’s price action manages to break the lows, we could see an aggressive correctional move here. Watch out for them nasty Asian false breaks!