Fell from Top of Sideways Consolidation and Major Resistance Zone, Retracement Channel Completed, Short AUDUSD, 25th October 2016


AUDUSD H4, Price Falling From Major Resistance Zone and Top of Major Consolidation

AUDUSD M15, 2 Major Retracement Completed within a Range and Resisted at FR38.2%

Technical Analysis:
The price has been falling since it got resisted within a major resistance zone and top of a major consolidation.
The price was then seen supported at the current support zone and has completed 2 major retracements.
The price is expected to fall further till it reaches the bottom of the major consolidation at the rising trendline.
Market Sentiment:
Aussie has been a little more bearish since it got resisted at a major resistance zone while the dollar has been gaining traction amid optimism for a rate hike in December. Overall, the fundamental is still neutral and thus more weight is put on the technical aspect.
Trading Plan:
Short with 1/2 risk since the price left with only one more wave of depreciation to reach the bottom of the major consolidation.
Stop loss was set 20 pips above the range resulted from the 2 major retracements.
First take profit level was seen at the support zone from 0.7600 onwards, followed by the bottom of the major consolidation.
AUDUSD M15, Trading Plan

[26/10/16 08:30] 
Hit Stop Loss due to impulse caused by news (AUD CPI)
Results: Loss 1.52%AUDUSD.H1 20161026 Results.png
I failed to check the Forex calendar the night before and was unprepared to monitor or modify my this trade when the news happened which turned out against me.
This is a loss that can be avoided entirely if I have been disciplined enough and build a good trading habit to always check the Forex Calendar.
Therefore, always check the Forex calendar, whether or not I have a running trade so that I am updated on what are the important economic events and can be better prepared.

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