AUD/USD Signal Update
Last Thursday’s signals produced a great, profitable short trade off the reversal at the trend line from about 0.7380. This move may be close to having run its course.
Today’s AUD/USD Signals
Risk 0.75%
Trades must be entered only between 8am New York to 5pm Tokyo times today.
Long Trade 1
• Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7281.
• 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.
• 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
• Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7250.
• 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.
• 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
• Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.7381.
• 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.
• 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 did hit that great area of confluence between the resistant (though ascending) trend line at 0.7381 and reversed quite strongly bearishly.
The overall picture has been quite bullish and although we are still in the middle of a serious pull back that has not changed.
There should be good support starting at 0.7280 and 0.7250. Further below that, there is a key Fibonacci level of 50% of a recent move confluent exactly with the round number at 0.7200, so that should also be an interesting area.
Regarding the AUD, there will be a release of NAB Business Confidence data at 12:30am London time. There is nothing due concerning the USD.