AUD/USD Forex Signal – 16 May 2019




AUDUSD analysis: strong weakness in AUD sends pair to new multi-month lows

Yesterday’s signals were not triggered as neither of the key levels were ever reached.

Today’s AUD/USD Signals

Risk 0.75%.

Trades may be taken from 8am New York time Thursday until 5pm Tokyo time Friday.

Long Trade

  • Go long immediately upon the next touch of 0.6827.

  • Place 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.

Short Trades

  • Go short following some bearish price action on the H1 time frame immediately upon the next touch of 0.6936, 0.6963 or 0.6986.

  • Place 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.

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.

Great trade opportunities are waiting. Don’t miss it!

TRADE NOW

AUD/USD Analysis

 I wrote yesterday that the Australian Dollar is the weakest major currency and there are no support levels to prevent the price falling by at least another 100 pips, so the line of least resistance is clearly downwards.

There was no reason not to be bearish and I took a strongly bearish bias here.

This worked out OK as the price over the past 24 hours is slightly lower and has traded lower still.

I am less bearish on this currency pair today because the price seems reluctant to fall – however, until the bulls can overcome the new lower resistance at 0.6936, it makes sense for medium to long-term traders to maintain a bearish bias. I would take a bearish bias if we get a strong bearish rejection at that level later today after New York opens.AUDUSDThere is nothing of high importance due today concerning either the AUD or the USD.






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