Yesterday’s signals were not triggered, as none of the key levels were ever reached.
Today’s AUD/USD Signals
Risk 0.50%.
Trades must be taken from 8am New York time to 5pm Tokyo time, during the next 24-hour period.
Long Trades
· Go long following some bullish price action on the H1 time frame immediately upon the next touch of 0.7740 or 0.7695.
· 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
· Go short following some bearish price action on the H1 time frame immediately upon the next touch of 0.7775 or 0.7804.
· Place 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 ride.
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
I wrote yesterday that technical picture still looked bullish, and the price may have been forming a new higher support level at 0.7740. If this area held until New York opens, the price is likely to continue to rise. This worked out quite accurately, but the price never quite reached the nearest resistance at 0.7775 and has instead consolidated under that level. The picture is still relatively bullish, but less so as the bullish movement runs out of momentum. I still maintain a bullish bias provided 0.7740 continues to hold as support, as both the Australian and New Zealand Dollars are relatively strong currencies now.
There is nothing due today concerning either the AUD or the USD.