Yesterday’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 until 5pm Tokyo time, over the next 24-hour period.
Short Trade
Short entry following some bearish price action on the H1 time frame immediately upon the next touch of 0.7609.
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
Go long following some bullish price action on the H1 time frame immediately upon the next entry into the zone between 0.7517 and 0.7500.
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 price continued to fall in line with the long-term trend, with the resistance level at 0.7572 working perfectly. However, the Governor of the RBA has just said publicly that the next movement in the interest rate is more likely to be up than down, and this has caused a sudden strong upwards move back to the resistance level and trend line at 0.7572. If the price continues upwards and breaks convincingly past that level soon, then the price is likely to rise further on this news, and we might see the low approaching 0.7500 made yesterday as a long-term bottom. For short trades, I prefer to wait for the next resistance level at 0.7609, which looks likely to be very strong.
There is nothing further due concerning the AUD. Regarding the USD, the Chair of the Federal Reserve Janet Yellen will be speaking at a panel discussion at 11pm.