AUD/USD Signal Update
Yesterday’s signals produced a profitable long trade following the bullish pin candle rejecting the support level identified at 0.7228, and this ran all the way up to the next resistance level of 0.7269, where another pin candle gave a losing short signal. The win was larger than the loss so it was a profitable day overall here.
Today’s AUD/USD Signals
Risk 0.75%.
Trades may only be entered between 8am New York time and 5pm Tokyo time, over the next 24-hours period.
Short Trade 1
* Go short following some bearish price action on the H1 time frame immediately upon the first touch of 0.7269.
* 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.
Long Trades
* Go long following some bullish price action on the H1 time frame immediately upon the first touch of 0.7228 or 0.7200.
* 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.
AUD/USD Analysis
This pair had been very bearish, but we had a significant bullish bounce yesterday from the support level identified at 0.7228. It looks as if the price is now forming the final leg of a bullish Quasimodo pattern with new support coming in at 0.7244. If that level holds, the price should move up and if it breaks 0.7269 quickly, that would be a bullish sign.
The long-term trend is bearish.
There is nothing due today regarding the AUD. Concerning the USD, there will be a release of Crude Oil Inventories data at 3:30pm London time.