AUD/USD Signal Update
Yesterday’s signals gave a profitable short trade as a reversal off the bearish trend line at around 0.7700, which would have given the minimum profit of at least 20 pips.
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.
Short Trade 1
Go short following some bearish price action on the H1 time frame immediately upon the next touch of the bearish trend line currently located at around 0.7712.
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.
Long Trade 1
Go long following some bullish price action on the H1 time frame immediately upon the next touch of 0.7550.
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.
AUD/USD Analysis
We got a move up yesterday, with the AUD showing some divergence from its sister currency the NZD which was continuing to fall. However the round number and trend line combination at 0.7700 was enough to halt the advance. Although there has been a fall overnight, the London open seems to be reversing it so it looks like we are going to test the trend lines again.
As we just bounced off the lower trend line, I will be looking for a bounce off the higher trend line this time.
Regarding the AUD, the Governor of the Reserve Bank of Australia will be speaking at a panel at 9:40am London time. Concerning the USD, there will be a release of CB Consumer Confidence data at 3pm.