AUD/USD Signal Update
Yesterday’s signals produced a short trade a little while ago following the bounce off resistance at around 0.7059.
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.
Long Trade 1
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.6906.
Put 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.
Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.
Short Trade 1
Go short if the price reaches 0.7045 before it exceeds 0.7068.
Put 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.
Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.
AUD/USD Analysis
The Australian dollar has risen overnight and so finally this pair has hit a key level: the anticipated resistance at 0.7059. It is still early, but the price is currently forming a doji candlestick on the H4 chart which indicates hesitation and a possible reversal, so this is a logical point at which to enter a short trade. However this pair does tend to go quiet from about one hour after London opens until the New York open so nothing may happen for a few hours.
Key support remains just above 0.6900 but of course there is also the double bottom at around 0.6940.
Regarding the AUD, there will be a release of Retail Sales data at 2:30am London time. Concerning the USD, there will be a release of Unemployment Claims data at 1:30pm, followed by ISM Manufacturing PMI at 3pm.