AUD/USD Forex Signal

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AUDUSD: Bulls failing to make new highs

Yesterday’s signals were not triggered as none of the key levels have been reached yet.

Today’s AUD/USD Signals

Risk 0.75%.

Trades may only be entered between 8am New York time today and 5pm Tokyo time Wednesday.

Short Trade Ideas

  • Go short following bearish price action on the H1 time frame immediately upon the next touch of 0.6917 or 0.6940.

  • Put 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.

Long Trade Ideas

  • Go long following bullish price action on the H1 time frame immediately upon the next touch of 0.6830 or 0.6800.

  • Put 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.

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.

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AUD/USD Analysis

I wrote yesterday that although the technical signs were all bullish, bulls should be aware that the price was approaching a key pivotal zone which begins above 0.6868, so it may be time for a pause in the bullish movement.

This was a good call, as the price has failed to rise higher over recent hours, so it seems that we are sue for at least a bearish pullback within the strongly bullish move of recent days. The next key thing to watch out for, I think, will be whether the support at 0.6830 or at worst 0.6800 hold up. If so, the bullish move will be likely to continue, so I would still take a bullish bias if get a solid bullish bounce at either of those levels after a deeper bearish retracement.AUDUSDThere is nothing of high importance due today concerning either the AUD or the USD.

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.