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AUD/USD Forex Signal - 1 September 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 and expired.

Today’s AUD/USD Signals

Risk 0.75%

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

 

Short Trade 1

  • Go short following some bearish price action on the H1 time frame immediately upon the next touch of 0.7283.

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

  • Adjust the stop loss to break even once the trade is 30 pips in profit.

  • Remove 50% of the position as profit when the trade is 30 pips in profit and leave the remainder of the position to run.

 

Short Trade 2

  • Go short following some bearish price action on the H1 time frame immediately upon the next touch of 0.7248.

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

  • Adjust the stop loss to break even once the trade is 30 pips in profit.

  • Remove 50% of the position as profit when the trade is 30 pips in profit and leave the remainder of the position to run.

 

Short Trade 3

  • Go short following some bearish price action on the H1 time frame immediately upon the next touch of 0.7283.

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

  • Adjust the stop loss to break even once the trade is 30 pips in profit.

  • Remove 50% of the position as profit when the trade is 30 pips in profit and leave the remainder of the position to run.

AUD/USD Analysis

Yesterday this pair looked like it would going to complete a pull back all the way back to its opening price for the week, and it was looking less bearish than its sister pair NZD/USD. Both of these prospects seem to have disappeared with the pair moving down again with some momentum over the last few hours. The price is again about to test the support level at 0.7068 and I am still not looking for a long at that point.

There is plenty of very attractive resistance levels and confluent bearish trend lines above, beginning at 0.7213, which would be likely to give good shorting opportunities. There is high impact news due over the coming hours concerning both currencies in this pair, so there could well be a spike up to those prices. However there are signs of a renewed China/Global Equity selloff which could dramatically weaken the AUD over the coming hours.

AUDUSD signal

Regarding the AUD, there will be a release of GDP data at 2:30am London time. Concerning the USD, there will be a release of ISM Manufacturing PMI data due at 3pm.

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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