Last Thursday’s signals were not triggered as none of the key levels were reached during that session.
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-hour period.
Short Trade 1
- Short entry following some bearish price action on the H1 time frame immediately upon the next touch of 0.7992.
- 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 0.7916 or 0.7873.
- Place 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 price has risen steadily but choppily from the support level at 0.7873 that I had my eye on last week, and has now reached a long-term bearish trend line which has contained it over recent trading hours. Additionally, there is new support at 0.7916 which looks strong. If that level holds, we should get a bullish breakout which would logically drive the price up to the 0.8000 area. As the USD is weak and the long-term trend is bullish, there is likely to be more potential in long trades than short trades.
There is nothing due today concerning either the AUD or the USD.