AUD/USD Forex Signal - 12 November 2019

AUDUSD: More bearish

 

Yesterday’s signals were not triggered, as there was insufficiently bullish price action at 0.6834.

Today’s AUD/USD Signals

Risk 0.75%.

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

Short Trade Ideas 

⦁ Short entry following bearish price action on the H1 time frame immediately upon the next touch of 0.6862, 0.6885, or 0.6927. 

⦁ 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 

⦁ Long entry following bullish price action on the H1 time frame immediately upon the next touch of 0.6834, 0.6809, 0.6769, or 0.6754. 

⦁ 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.

AUD/USD Analysis

I wrote yesterday that this pair technically was now within a range stretching from 0.6809 to 0.6927 and reversal trades at either extreme level were likely to be fruitful, so I would be looking to trade this range.

This was enough to keep out of trouble.

We have no long-term trend in this pair but arguably now there is a medium-term bearish trend. Therefore, I see a break below 0.6833 and perhaps a couple of hours consecutive closes below that level as likely to be a good sign that the price will move lower, to at least 0.6809.

AUDUSD

There is nothing of high importance due today concerning the USD. Regarding the AUD, there will be a release of Wage Price Index data at 12:30am London time.

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.