Yesterday’s signals were not triggered as the price became established below the support level at 0.7375 before the New York open, while the bearish price action took place a little way above 0.7400.
Today’s AUD/USD Signals
Risk 0.75%.
Trades must be taken from 8am New York time until 5pm Tokyo time, over the next 24-hour period.
Long Trade
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Go long following some bullish price action on the 1H1 time frame H1H1H1 time frame immediately upon the next touch of 0.7343.
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Put the stop loss 1 pip below the local swing low.
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Move the stop loss to break even once the trade is 20 pips in profit.
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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
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Go short following some bearish price action on the 1H1 time frame H1H1H1 time frame immediately upon the next touch of 0.7403 or 0.7453.
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Put the stop loss 1 pip above the local swing high.
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Move the stop loss to break even once the trade is 20 pips in profit.
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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.
I wrote yesterday that I had a bearish bias due to the USD being the strongest currency and the AUD one of the weakest. This did not work out so well, as the price has moved up a little over the past 24 hours. The nearby support and resistance levels are close, unreliable and compressed, so I am only prepared to be impressed here by a strong bullish bounce at 0.7343 or a strongly bearish bounce at 0.7453. I am not sure which way the price will move over the forthcoming hours, so it is probably best to stand aside here for the next day or so. The AUD seems to be recovering along with stock markets as tariff talk recedes, but that can change in an instant with any kind of trade announcement from the U.S.A., China, or the European Union. The price has just made long-term lows, so longer-term bears should remain encouraged for the time being.
There is nothing due concerning the AUD. Regarding the USD, there will be a release of Crude Oil Inventories data at 3:30pm London time.
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