[ads]A bearish engulfing pattern formed on the AUDUSD chart in the W1 time frame. I was waiting for this short since Monday as updated in my video as prices are trading at resistance on the W1 time frame as well as the MN time frame. I mentioned that if prices test the 0.9400 to 0.9500 area, we should sell the AUDUSD. Price did test it today and I sold AUDUSD at 0.9406 and the best place to sell is the 0.9430.
My targets would be 0.9260 followed by 0.9042 and finally 0.8810. My stop loss would be a close above 0.9504. There were 2 reasons I choose to sell the AUDUSD. From a technical perspective, prices are trading at a strong resistance area which has multiple time frame resistance. From a fundamental perspective, the RBA has announced that they are not comfortable with AUDUSD trading at prices above 0.9500.