AUDUSD pair is correlated with EURUSD.
But I never use correlation in my trading.
This correlation stuff is too hyped.
Currency pairs move according to their own requirements.
So it is always a good idea to ignore correlation altogether and focus on risk management more.
If you have been reading my post regularly you know by now, I focus on risk management more.
First I look at the weekly chart and see what's on it.
Then I look at the daily chart.
This gives me a good idea as to what the market wants to do.
Once i have decided on the market direction, I need to know how much it will move.
Weekly and daily charts have got all that information on that.
So once I have my analysis, I shit to H4 and look for a low risk entry.
Read this recent blog post on a AUDUSD long swing trade.
This AUDUSD long trade had a stop loss of 5 pips and a profit target of 250 pips.
