(MENAFN- Daily Forex) Last Thursday's signals were not triggered, as none of the key levels were ever reached.
Today's AUD/USD Signals Risk 0.75%.
Trades must be taken until 5pm Tokyo time, during the next 24-hour period only.
Long Trades
Go long following some bullish price action on the H1 time frame immediately upon the next touch of 0.7165 or 0.7123. 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 Trades
Go short following some bearish price action on the H1 time frame immediately upon the next touch of 0.7250 or 0.7268. 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 last Thursday that I would only be bullish if the price would test 0.7268 and if that level then held. Conversely, a reversal at 0.7321 could be interesting for a short trade as it was an important historic price level. Neither of these scenarios played out. I also said the odds were slightly in favour of the bulls, and we did see higher prices for a few hours before the lows broke down.
A bullish U.S. Dollar has dominated the Forex market then, and we have seen a deep bearish retracement from the new 20-day high prices we were getting last week, so I don't see any strength remaining here in the Australian Dollar that seems to be over, but I think that a test of the support level at 0.7165 will tell us a lot. If that level hells, the bulls can have another shot at driving the price up to new highs.
I have no directional bias on this pair today.
There is nothing important due today concerning either the AUD or the USD. It is a public holiday today in the U.S.A.
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