An extensive uptrend consolidation design is currently distinguishable on the H4 graph of the EUR/AUD currency pair. It has commenced constituting back in the beginning of May and presently looks attractive — with all the essential lineaments of a suitable ascending triangle, which consist of a horizontal upper side and an predisposed lower side accustomed by at least three cost marks.

You can observe the triangle’s outermost edges presented with the yellow lines on the graph figure below. The cyan horizontal edge is the escape cause for entry. The green horizontal edge is the take-profit aligned for the escape exchange. The two are located on the pattern’s top part at the base.

I will intent my stop-loss to the bottom of the breakout candle or to the bottom of the earlier candle if the breakout one is mainly outside the triangle. I will neglect the bluff breakouts from this graph. Actually, a compelling bluff change will discredit the ascending triangle.

The EUR AUD Displaying Ascending Triangle on 4-Hour Graph

Mike N
Mike N

Financial Trading Systems Design Expert

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