AUD/USD Signal Update
Last Thursday’s signals produced a profitable winning long trade at the bullish reversal off the lower trend line that took place last Thursday. As the upper trend line has been touched and also held, a full exit is probably overdue.
Today’s AUD/USD Signals
Risk 0.75%
Trades may only be taken from 8am New York until 5pm Tokyo times today.
Long Trade 1
* Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7072.
* Place the stop loss 1 pip below the local swing low.
* Adjust 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
* Short entry following a bearish price action reversal on the H1 time frame immediately upon the next entry into the zone between 0.7263 and 0.7279.
* Place the stop loss 1 pip above the local swing high.
* Adjust 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 triangle’s two trend lines have continued to hold the price, as this pair continues to behave very technically, giving some technical trading opportunities, as I mentioned in a recent forecast.
As both trend lines have recently been touched and as the triangle is getting narrower, I am now looking to the horizontal levels. The pair is looking more bearish overall following the U.S. rate hike, so a return to 0.7263 will quite likely provide a good opportunity to go short. However I also think we could get a good bounce at 0.7072 especially if the rejection of that level will happen confluent with a rejection of the lower triangle trend line.
There is nothing due today concerning either the AUD or the USD.