Good morning,
EURAUD has been in a strong, sustained downtrend, but the current 4-hour structure is starting to show the first signs of a potential reversal area.
Here’s the VMS read so far:
1. Structure
Price is forming a very clean rejection zone, including:
A hammer candle
Several rejection wicks
A strong bullish engulfing candle currently forming
This is the first meaningful pushback against the downtrend.
2. Momentum
Momentum is showing a strong divergent setup, which often appears ahead of reversal attempts on the 4H timeframe.
I’ve highlighted the divergence on the chart.
3. Volume (Developing)
The current 4H candle is fluctuating between 70–87 volume.
We’ll need final confirmation at the candle close.
Volume Rules for VMS Reversal
After the candle closes, we will look for:
4H volume ≥ 80
OR
1H volume ≥ 85
OR
15m volume ≥ 90
If we get those readings and the engulfing candle holds at the close, this setup becomes a legitimate 4H reversal opportunity.
No entries yet — just preparing and watching the structure develop.
Not financial advice. Always follow your own rules and risk.
EURAUD has been in a strong, sustained downtrend, but the current 4-hour structure is starting to show the first signs of a potential reversal area.
Here’s the VMS read so far:
1. Structure
Price is forming a very clean rejection zone, including:
A hammer candle
Several rejection wicks
A strong bullish engulfing candle currently forming
This is the first meaningful pushback against the downtrend.
2. Momentum
Momentum is showing a strong divergent setup, which often appears ahead of reversal attempts on the 4H timeframe.
I’ve highlighted the divergence on the chart.
3. Volume (Developing)
The current 4H candle is fluctuating between 70–87 volume.
We’ll need final confirmation at the candle close.
Volume Rules for VMS Reversal
After the candle closes, we will look for:
4H volume ≥ 80
OR
1H volume ≥ 85
OR
15m volume ≥ 90
If we get those readings and the engulfing candle holds at the close, this setup becomes a legitimate 4H reversal opportunity.
No entries yet — just preparing and watching the structure develop.
Not financial advice. Always follow your own rules and risk.
Exención de responsabilidad
La información y las publicaciones no constituyen, ni deben considerarse como asesoramiento o recomendaciones financieras, de inversión, de trading o de otro tipo proporcionadas o respaldadas por TradingView. Más información en Condiciones de uso.
Exención de responsabilidad
La información y las publicaciones no constituyen, ni deben considerarse como asesoramiento o recomendaciones financieras, de inversión, de trading o de otro tipo proporcionadas o respaldadas por TradingView. Más información en Condiciones de uso.