AUDNZD 2H Chart Analysis – Trendline Break + Supply Zone Rejecti🧾 Market Context:
Pair: AUDNZD
Timeframe: 2H (2-Hour)
Overall Bias: Bearish
Setup Type: Trendline Break → Lower High Formation → Supply Zone Retest → Bearish Continuation
📊 Technical Breakdown:
🔸 1. Trendline Break:
A steep ascending trendline has been broken decisively, marking a clear end of bullish structure.
This shift indicates that buyers have lost control and bears are stepping in.
🔸 2. Retest of Supply Zone (Breaker Block):
After breaking the trendline, price retraced into a supply zone (highlighted in grey).
This zone also acts as a breaker block – price broke support, and now it’s acting as resistance.
Rejection from this area confirms institutional selling pressure.
🔸 3. Lower High Formation:
The price failed to break back above the supply zone, forming a lower high, which is a classic bearish market structure signal.
Trendline retest + supply zone rejection together give confluence.
🔸 4. Bearish Projection Path:
Your chart outlines a clear path of expected price movement:
Minor bounce from intermediate demand (1.0780–1.0790)
Continuation downward toward final target zone at 1.0650–1.0660
🔽 Entry & Trade Plan:
Parameter Details
Entry Area 1.0820 – 1.0840 (confirmed rejection)
Stop Loss Above 1.0855 (above the supply zone high)
Target 1 1.0770 – 1.0780 (intermediate demand zone)
Target 2 1.0650 – 1.0660 (major demand zone)
RR Ratio Around 1:3 to 1:4 depending on entry
✅ Bearish Confluences:
✅ Trendline break + retest
✅ Supply zone rejection
✅ Lower high formation
✅ Bearish engulfing candle post-retest
✅ Clear break of structure (BOS)
✅ Liquidity sweep above previous high before dumping
⚠️ Invalidation Criteria:
If price closes above 1.0855 on a 2H/4H candle, it invalidates the bearish setup.
In that case, reanalyze for potential continuation or false breakout.
📈 Visualization Path:
🔹 Current price is consolidating slightly below the retest zone.
🔹 You anticipate a drop to intermediate support, possible small bounce, then continuation to major target.
🧠 Professional Summary:
This is a textbook bearish trend reversal setup:
Break of bullish trendline
Supply zone retest and rejection
Structure shift to lower lows/lower highs
Bearish order flow developing
If momentum follows through, your TP at 1.0650 is very realistic.
