Last Thursday’s signals were not triggered as none of the key levels were ever reached.
Today’s AUD/USD Signals
Risk 0.75%.
Trades may only be entered from 8am New York time to 5pm Tokyo time, over the next 24-hour period.
Short Trade 1
- Short entry following some bearish price action on the H1 time frame immediately upon the next touch of 0.7944
- 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 run.
Long Trade 1
- Long entry following some bullish price action on the H1 time frame immediately upon the next touch of 0.7836.
- 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.
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 old medium-term bearish channel has broken, and the price is now looking as though it will be contained within a new channel which is still bearish, but at a much gentler angle. There is no sign of the long-term bullish trend resuming yet. The price is some way from key levels. Due to all these factors, this pair looks very unattractive to trade right now due to unpredictability. This is unlikely to change unless the RBA’s minutes due later contains any surprises big enough to shift sentiment decisively on the AUD.
There is nothing due regarding the USD. Concerning the AUD, the RBA will release its Monetary Policy Meeting Minutes at 2:30am London time.