Forex AUDNZD | Our expectations:
Long term downtrend and downward movement in the shadow of the forex flash crash bar from earlier this year. Activated Head & Shoulders, with 1: 1 target in the 1.0251 – 1.0212 area. DeM Sequential has reached 9th, and in a volatile pair such as AUDNZD, it is possible to knock the stops and reach the bottom area, where we can look for long positions with the SL 1,0120, extended under the bottom of the big pin bar.
DeM (8) signals potential reversal upwards, with real upward rotation will support the bullish scenario.
The fundamental for AUD was very negative, and this led to sales to all crosses, but sooner or later the price elasticity could return the pair enough to test the MA50 even on the MA200.
Alternative scenario: Break below the bottom of the big bar of the forex flash crash may lead to a new all-time low in the pair, yet this scenario remains less likely.
Trader Nikolay Georgiev