EURAUD Possible Short

Price action has just reached a critical zone of 1.6200 which has historically been a major area of structure for FOREXCOM:EURAUD. The level coincides with the 0.50 Fib level of the daily leg as well, acting as more convergence for entering a trade. If the daily candle holds its current position and closes below the 50% level we can start assessing potential shorts. Assuming the 4H time frame can make a shift to the downside, breaking structure, we can short from this area with TP1 being the 1.6010 level and TP 2 of 1.5925.

As always, remember to use proper risk management and confirmations on the 4H TF before entering.

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