Aussie looks set to go lower still

Background

AUDUSD has been travelling lower since it topped out in March and has now broken another important level at 0.7388, suggesting we can head back to the January lows. We can sell a rally to take advantage of this as 0.7377-88 looks like it will cap any recovery.

Management and risk description

We will iniitally risk 40 ticks, then move the stop once the first target is reached.

Parameters

Entry: Sell a rally to 0.7375

Stop: Above 0.7415

Targets: 0.7290 then 0.7170

Time horizon: 2 weeks

Daily Candlestick Chart

Source: CQG

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