Technical Analysis Free Forex Signals AUD/USD Forex Signal AUD/USD Forex Signal Thursday, 3 January 2019 12:38 Share 0 Tweet 0 Pin it 0 +1 Yesterday’s signals were not triggered, as there was no bullish price action at either 0.6992 or 0.6940. Today’s AUD/USD Signals Risk 0.75%. Trades must be entered from 8am New York time until 5pm Tokyo time today only. Long Trade Go long following some bullish price action on the H1 time frame immediately upon the next touch of 0.6827. 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 0.7039 or 0.6986. 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 environment was still bad for the Australian Dollar, so I thought that it was not going to be appropriate to be looking for a long trade unless there was an extremely strong bullish bounce at 0.6992. I took a bearish bias below 0.7039 and 0.6992. This was a good call as the “flash crash” strongly affected the Australian Dollar, sending the price slightly below 0.6750 at one point, so being bearish was the potentially profitable outcome. It was also in line with the long-term trend. Interestingly, the Australian Dollar has made up most of its losses incurred during the flash crash, and the price is currently not far from a new resistance level at 0.6986. Usually after very strong movements like this one, the price takes some time to settle. I think the first thing to watch for here will be whether the price stays below the psychological round number at 0.7000. That will probably be the pivotal level over the next few days. However, I would be reluctant to enter any trades just yet after such sharp price movements. There is nothing of high importance due today concerning the AUD. Regarding the USD, there will be a release of ISM Manufacturing PMI data at 3pm London time. Currency Pairs AUD/USD Adam Lemon 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.