AUD/USD Signal Update
Yesterday’s signals were not triggered as there was insufficiently bullish price action when the price reached the 0.7516 level.
Today’s AUD/USD Signals
Risk 0.75%.
Trades must be taken between 8am New York time and 5pm Tokyo time, during the next 24-hours period only.
Short Trade 1
Go short following some bearish price action on the H1 time frame immediately upon the first entry into the zone between of 0.7570 and 0.7582.
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.
Long Trade 1
Go long following some bullish price action on the H1 time frame immediately upon the first touch of 0.7452.
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.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
AUD/USD Analysis
This pair continues to look bullish but the first signs of a problem are beginning to appear. We must move the supportive bullish trend line down a little for it to make sense, but it is still present and holding, and despite the rally in the USD the AUD has held up quite well. The former support at 0.7516 has been invalidated and there is nothing below the trend line before 0.7452. I expect that level to be very supportive but to get there the price must break the bullish trend line, which might attract sellers and increase downwards pressure on the price.
There is nothing due regarding the AUD. Concerning the USD, there will be releases of Building Permits, Philly Fed Manufacturing Index, and Unemployment Claims data at 1:30pm London time followed by Crude Oil Inventories at 4pm.