AUD/USD Signal Update
Yesterday’s signals were not triggered as there was no bearish price action when the level at 0.7198 was hit.
Today’s AUD/USD Signals
Risk 0.75%
Trades must be entered between 8am New York time and 5pm Tokyo time only.
Short Trades
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.7250 or the trend line which is currently sitting close to that price.
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 run.
AUD/USD Analysis
The AUD remains one of the weaker currencies. Unfortunately the level at 0.7198 did not suffice to give a good short entry. There is a new bearish trend line which has just formed. It is now possible to identify three resistant trend lines above 0.7200 and below 0.7300 which strongly suggests, along with the fact that there is no key support until about 0.7000, that the line of least resistance remains short.
The level at 0.7250 looks very attractive for a short trade, with the confluence of a trend line, flipped horizontal level, and psychological impact.
Concerning the AUD, there will be a release of Private Capital Expenditure data at 2:30am London time. Earlier, regarding the USD, there will be a release of Crude Oil Inventories data at 3:30pm.