AUD/USD Forex Signal

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 taken between 8am New York time Wednesday and 5pm Tokyo time Thursday.

Long Trades

• Long entry following some bullish price action on the H1 time frame immediately upon the next touch of 0.6990 or 0.6962.
• Put the stop loss 1 pip below the local swing low.
• Move the stop loss to break even once the trade is 20 pips in profit.
• Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.

Short Trade

• Short entry following some bearish price action on the H1 time frame immediately upon the next touch of 0.7047.
• Put the stop loss 1 pip above the local swing high.
• Move the stop loss to break even once the trade is 20 pips in profit.
• Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.

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 price had continued to advance and respect all the technical levels, flipping 0.6963 from resistance to new higher support. However, the price was still contained by the resistance at 0.6986. I was ready to take a bullish bias if we could get two consecutive hourly closes above 0.6986 which would suggest a rise to the key 0.7000 round number and beyond, with enough room for the price to rise until it reaches the next resistance level at 0.7047.

This was a good call as we did get those two consecutive hourly closes above 0.6986 and the price has risen from there. The price looks bullish with good short-term momentum pushing the price upwards beyond the big round number at 0.7000. If the price can close above 0.7000 for a couple of hours now. I would take a bullish bias until 0.7047.

There is nothing important due today concerning the AUD. Regarding the USD, there will be a release of ISM Non-Manufacturing PMI data at 3pm London time.