AUD/USD Signal Update
Yesterday’s signals produced a profitable long trade of at least 20 pips following the bullish bounce at the support level of 0.7250.
Today’s AUD/USD Signals
Risk 0.75%
Trades may only be taken from 8am New York time until 5pm Tokyo time only.
Short Trades
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.7250, 0.7309, or either of the bearish trend lines sitting above that at about 0.7320 to 0.7340.
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 ride.
AUD/USD Analysis
The AUD has been very weak following the RBA’s signalling of a weaker monetary policy, and this was reinforced during the Asian session as key Australian economic data came in weaker than expected. In addition, the USD is strong on the back of yesterday’s FOMC release. There has been some support around 0.7200 but there are no reliable supportive levels anywhere nearby so I would only seek shorts, especially at the key psychological level of 0.7250 and also above that at 0.7309: both of these were formerly support.
There are no high-impact events due today concerning the AUD. Regarding the USD, there will be a release of Unemployment Claims and Philly Fed Manufacturing Index data at 1:30pm London time.