AUD/USD Forex Signal – 27 March 2018

By: DailyForex.com

Yesterday’s signals were not triggered, as the resistance level at 0.7738 was already broken before 8am New York time and no other key levels were reached.

Today’s AUD/USD Signals

Risk 0.50%.

Trades must be taken from 8am New York time to 5pm Tokyo time, during the next 24-hour period.

Long Trade

· Go long following some bullish price action on the H1 time frame immediately upon the next entry into the zone between 0.7740 and 0.7729.

· 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 0.7775 or 0.7804.

· 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

Yesterday I wrote that if the price broke up above 0.7738 it should continue to 0.7775. I was wrong, as the price again turned bearish and is now falling with good short-term momentum. There are no key levels nearby. The chart is dominated by two bearish trend lines, the more recent one is steeper. However, we have a series of higher lows, which can be seen in the price chart below. It all adds up to an indecisive picture, so I have no directional bias today, and see this pair as best avoided for now.

There is nothing due today concerning the AUD. Regarding the USD, there will be a release of CB Consumer Confidence data at 2pm London time.