AUDNZD Forming a Long Term Ascending Triangle


Hi there Traders,

Today we’ve got a potential setup forming on the AUDNZD weekly chart. What we’re seeing here is the testing of a multi-year rising trendline. With price currently at this area of support we can assume one of two things will occur; 1 – Support will hold and price will bounce off our trendline, or 2 – Support won’t hold and price will continue it’s medium-term downward momentum.

If we consider the horizontal multi-year resistance line above, we can see that price has been range bound in between these two lines for close to four years. These two trendlines also form the makings of an ascending triangle which in the long term could result in a significant trend reversal.

There are a few ways to potentially play this current setup:
1) A trader could look to buy a rejection of our rising support trend line with quite favourable risk-reward;
2) A trader could look for a confirmed break through support and short; or,
3) We could sit on the sidelines and see if our ascending triangle forms and buy the breakout of the confirmed pattern

Having been in a multi-year downtrend, this pattern could potentially indicate a bottom and personally I favour the long side purely because the risk-reward is appealing to me.

Regardless of your trading decision, DYOR and always consider your risk.


Risk Disclosure: In addition to the website disclaimer below, the material on this page prepared by Vantage FX Pty Ltd does not contain a record of our prices or solicitation to trade. All opinions, news, research, tools, prices or other information is provided as general market commentary and marketing communication – not as investment advice. Consequently, any person acting on it does so entirely at their own risk. The expert writers express their personal opinions and will not assume any responsibility whatsoever for the forex trading account of the reader. We always aim for maximum accuracy and timeliness, and Vantage FX shall not be liable for any loss or damage, consequential or otherwise, which may arise from the use or reliance on this service and its content, inaccurate information or typos. No representation is being made that any results discussed within the report will be achieved, and past performance is not indicative of future performance.

Pembukaan Akun Cepat & Mudah

  • Daftar

    Pilih tipe akun dan ajukan aplikasi pendaftaran Anda.

  • Danai

    Danai akun Anda dengan menggunakan beragam cara pendanaan.

  • Perdagangan

    Akses 300+ instrumen pada semua kelas aset di MT4/MT5