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, during the next 24-hour period.
Short Trade 1
Go short following some bearish price action on the H1 time frame immediately upon the next touch of 0.7696.
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
Go long following some bullish price action on the H1 time frame immediately upon the next touch of 0.7645.
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 rise yesterday, breaking up above the short-term bearish trend line shown in the chart below, but then turning bearish a little way below the key resistance level of 0.7696. This suggests the price is more likely to fall than to rise over the short term, but as we are awaiting a key Statement from the RBA, it is probable that the price is now going to consolidate over the forthcoming hours. This means that there will probably be better opportunities in other currency pairs today, at least until the Asian session begins. There is no trend and I have no directional bias.
Regarding the USD, there will be a release of Unemployment Claims data at 1:30pm London time. Concerning the AUD, there will be a release of the RBA Monetary Policy Statement at 12:30am.