AUD/USD Forex Signal - 5 March 2018

Last Thursday’s signals were not triggered, as there was no bearish price action when 0.7750 was reached.

Today’s AUD/USD Signals

Risk 0.50%.

Trades must be taken from 8am New York time until 5pm Tokyo time, during the next 24-hour period only.

Long Trades

  • Go long following some bullish price action on the H1 time frame immediately upon the next touch of 0.7696 or 0.7640.

  • 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.

Short Trade

  • Go short following some bearish price action on the H1 time frame immediately upon the next touch of 0.7816.

  • 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.

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

Last Thursday I took a bearish bias, but the price did not go anywhere, just consolidating. I wasn’t exactly wrong, but I wasn’t right either. The price is simply going sideways in between two key levels, so there is no reason to be either bullish or bearish. I have no bias and there will probably be better opportunities elsewhere today, although there are high-impact news items due over the next 24 hours for both currencies, so something interesting might happen.AUDUSD

Regarding the USD, there will be a release of ISM Non-Manufacturing PMI data at 3pm London time Concerning the AUD, there will be Current Account and Retail Sales data releases at 12:30am, followed by the RBA Rate Statement and Cash Rate at 3:30am.

Adam is a Forex trader who has worked within financial markets for over 12 years, including 6 years with Merrill Lynch. He is certified in Fund Management and Investment Management by the U.K. Chartered Institute for Securities & Investment. Learn more from Adam in his free lessons at FX Academy.