AUD/USD Signal Update
Last Thursday’s signals expired as the bullish price action took place underneath the given support level of 0.7512.
Today’s AUD/USD Signals
Risk 0.75%
Trades must be entered between 8am New York time and 5pm Tokyo time only.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.7477.
Place 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 ride.
Short Trades
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 0.7569, 0.7600, or 0.7642.
Place 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 ride.
AUD/USD Analysis
This pair is behaving very well technically. It is contained within a bearish channel since the start of this calendar month, and also a broken bullish trend line above the current price. Both of these lines are confluent with the round number at 0.7600 so this could be a key area giving a good short trade. Before that is the key price level of 0.7569 which has acted as good flipping support and resistance several times over previous weeks: in fact it is really a textbook example of how these numbers can become really well defined and reliable as the charts shows so many rejections of it from both above and below.
Although the RBA is talking this pair down and it has been falling, I expect that we will get a strong bullish bounce at least once at 0.7477.
Regarding the USD, there will be an announcement by the Federal Reserve at some time today concerning discount rates. There is nothing due concerning the AUD.