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AUD/USD Forex Signal - 21 April 2015

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

AUD/USD Signal Update

Yesterday’s signals were not triggered as although the price did reach 0.7725, it fell right through without printing any bullish price action on the hourly time frame.

Today’s AUD/USD Signals

Risk 0.75%

Trades may only be taken between 8am London time and 5pm New York time only, or after 8am Tokyo time later.

 

Long Trade 1

  • Long entry following some bullish price action on the H1 time frame immediately upon the next touch of 0.7650.

  • Place the stop loss 1 pip below the local swing low.

  • Move the stop loss to break even once the trade is 20 pips in profit.

  • Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.

 

Long Trade 2

  • Long entry following some bullish price action on the H1 time frame immediately upon the next touch of the bullish trend line currently sitting at around 0.7570.

  • Place the stop loss 1 pip below the local swing low.

  • Move the stop loss to break even once the trade is 20 pips in profit.

  • Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.

 

Short Trade 1

  • Short entry following some bearish price action on the H1 time frame immediately upon the next retest of the bearish trend line currently sitting at around 0.7716.

  • Place the stop loss 1 pip above the local swing high.

  • Move the stop loss to break even once the trade is 20 pips in profit.

  • Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.

AUD/USD Analysis

We can get rid of the old higher trend line which has been violated and invalidated, and draw a new somewhat tentative trend line connecting the swing highs. We can also do the same with the lows, to form a consolidating triangle. The lower trend line is somewhat more valid as it has had what can be more properly described as two subsequent touches that held. Within the triangle there is a probable flipped supportive level confluent with the half number at 0.7650. There is some weakness in the AUD and strength in the USD so it seems likely we will reach 0.7650 before breaking the upper trend line.

AUDUSD 42115

There are no more high-impact events scheduled today concerning either the USD or the AUD.

Adam Lemon
About Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

 

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