Yesterday’s signals were not triggered as there was insufficiently bearish price action at 0.7606.
Today’s AUD/USD Signals
Risk 0.75%.
Trades may only be taken 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 next touch of 0.7669.
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 Trade 1
Go long following some bullish price action on the H1 time frame immediately upon the next touch of 0.7544.
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.
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
The pair rose and then sold off quickly during the late Asian session as the Reserve Bank of Australia held things steady, in fact arguably giving a slightly dovish report. The interesting event technically was the invalidation of the resistance around the 0.7600 area, so there is now plenty of room for the pair to rise without meeting any obvious selling levels. However, any trip up could be choppy as the area is far being “blue sky”.
This pair seems hard to predict, but it is true that the AUD is holding up quite well while other commodity currencies are being sold into general USD strength, and that is a bullish sign.
There is nothing due today concerning either the AUD or the USD.