AUD/NZD Price Analysis: Conditions turn bearish below resistance, daily 1:3 swing trade unfolding

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Further to yesterday's analysis:

AUD/NZD Price Analysis: 4HR confirmations trigger prospects for buy-limit, 

It would appear that the bullish scenario is not going to play out before there is a deeper correction on the weekly time frame. 

However, the following is a higher risk set-up considering that there is already a fair bit of support on a 4-hour time frame around the lows of prior daily impulse. 

The following is an illustration of the workflow that arrives at the meanwhile bearish conclusion:

Monthly downside wick

A bearish impulse on the daily and weekly time frames will fill in this monthly wick following bullish corrections on both. 

Weekly target

Daily bearish extension expected from resistance

4HR trade setup schedule

4-hour conditions will now be monitored for an entry point.

Bears now await a bearish environment on the technical indicators for entry for a minimum 1:3 setup.

Further deterioration of price and subsequent resistance structure could offer a tighter stop loss for a higher risk to reward.

Update: We will we now see a bearish correction?

The price has, as expected, moved to test resistance to pick up more liquidity,

We expect rejection and a subsequent sell-off to move the market into a bearish environment for the setup.

Update: Removed from watchlist

As can be seen, the price has broken the resistance structure, so the probabilities have switched neutral and we can no longer be looking for a bearish setup.