Today’s AUD/USD Signals
Risk 0.50%.
Trades may only be entered between 8am New York time and 5pm Tokyo time, during the next 24-hour period.
Long Trades
Long entry following some bullish price action on the H1 time frame immediately upon the next touch of 0.7494 or 0.7479.
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 some bearish price action on the H1 time frame immediately upon the next touch of 0.7573 or 0.7621.
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 the action was still ranging and unpredictable, so I took no directional bias. The price rose only to falter at the resistance level of 0.7573. There is no change to the technical picture, the price is really just going sideways due to the U.S. and Australian Dollars having similar relative strengths. There is no good direction from longer-term charts either. If you insist on trading this pair, the best strategy is probably going to be fading levels at extremes of range, until there is a strong change to the technical picture. I have no directional bias.
There is nothing due today concerning either the AUD or the USD.