AUD/USD Forex Signal - 23 April 2019

|

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

Today’s AUD/USD Signals

Risk 0.75%.

Trades may only be entered from 8am New York time Tuesday until 5pm Tokyo time Wednesday.

Long Trades

  • Go long following some bullish price action on the H1 time frame immediately upon the next touch of 0.7109 or 0.7088.
  • 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 Trade

  • Go short following some bearish price action on the H1 time frame immediately upon the next touch of 0.7144 or 0.7162.
  • 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.

Advertisement
Great trade opportunities are waiting - don't wait to profit from this pair!
TRADE NOW

AUD/USD Analysis

I wrote yesterday that the short-term price action was bearish and looked as if, should the price manage to break below 0.7125, it could fall much further over this week. I was ready to take a bearish bias if the price was making new lows as the New York session got underway. This was a good call as the pair has continued to slowly fall and has got very close to the support level at 0.7109. It seems likely that the support will hold in this environment, and that the price will now consolidate above 0.7109 with little definite directional movement. The Australian inflation data due later during the Asian session is likely to be the prime driver today, and this is uncertain so it might be wise to step aside unless the price gets active during the New York session and breaks a key level or strongly bounces off one.

audusd

There is nothing of high importance due today concerning the USD. Regarding the AUD, there will be a release of CPI data at 2:30am London time.

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.