AUD/USD Signal Update
Yesterday’s signals were not triggered as there was no bearish price action at 0.7689.
Today’s AUD/USD Signals
Risk 0.75%
Trades may only be taken between 8am and 5pm New York time only, or after 8am Tokyo time later.
Long Trade 1
Long entry following some bullish price action on the H1 time frame immediately upon the next touch of 0.7667.
Put the stop loss 1 pip below the local swing low.
Adjust the stop loss to break even once the trade is 20 pips in profit.
Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run. Take more profit at 0.7750.
Short Trade 1
Short entry following some bearish price action on the H1 time frame immediately upon the next touch of 0.7805.
Put the stop loss 1 pip above the local swing high.
Adjust the stop loss to break even once the trade is 20 pips in profit.
Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.
AUD/USD Analysis
I had thought the price would turn bullish at around 0.7550 but the turn has happened earlier than that, at the round number of 0.7600. It has been driven by the bullish reaction to the RBA’s holding of Australian interest rates and their rate statement. The price has now broken up past a bearish trend line as shown in the chart below, and a two week period of bearishness now seems to have ended with a few strong green candles.
It looks as though 0.7667 will be a new floor and that price is now likely to move up to 0.7740 at least. The level at 0.7750 could be psychologically significant as resistance.
There are no more high-impact events scheduled today for either the AUD or the USD.