AUD/USD Forex Signal - 16 August 2017

Yesterday’s signals were not triggered as none of the key levels were all reached.

Today’s AUD/USD Signals

Risk 0.75%.

Trades may only be entered from 8am New York time to 5pm Tokyo time, over the next 24-hour period.

Short Trades

  • Short entry following some bearish price action on the H1 time frame immediately upon the next touch of 0.7870 or 0.7944
  • 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

  • Long entry following some bullish price action on the H1 time frame immediately upon the next touch of 0.7778.
  • 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

This pair looks very problematic, although it is acting bearishly and generally falling. It is something of a mess and behaving strangely. It is approaching potential resistance at 0.7870 at the time of writing, but it looks quite likely to break. The channel trend lines are likely to be more influential. I really would not want to be trading this pair now as it looks very unpredictable.

AUDUSD

Concerning the AUD, there will be a release of Employment Change and Unemployment Rate data at 2:30am London time. Regarding the USD, there will be a release of Building Permits data at 1:30pm, followed by Crude Oil Inventories at 3:30pm and FOMC Meeting Minutes at 7pm.

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.