AUD/USD – Can Expect a Bullish Recovery Hap
Risk per trade is 0.75%
Bearish view
- Wait for a bearish price action reversal on H1 timeframe and place trades once price reaches $0.6786, $0.6847, or $0.6895.
- Stop loss: 1 pip above the local swing high.
- Adjust stop loss to breakeven once the trade is in profit by 20 pips.
- Take profit by removing 50% of trade.
- Let the trade run.
Bullish View
- Wait for a bullish price action reversal H1 timeframe and place trades once price reaches $0.6679.
- Stop loss: 1 pip below the local swing low
- Adjust stop loss to breakeven once the trade is at profit by 20 pips.
- Take profit by removing 50% of trade.
- Let the trade run.
The Australian inflation data was lower than what economists anticipated but this resulted in the pair price rising contrary to what we expected. We thought of a possible decline which didn’t happen for the Aussie Dollar pair. The current trend looks bullish and the price is moving towards resistance level at $0.6786. We could get an opportunity to sell the pair if there is a bearish reversal happening. We can look forward to it if the price touches $0.6780 and $0.6786.
On the contrary, if the pair price consolidates making 2 consecutive higher hourly closes above $0.6786, then we can expect the price to keep moving upwards which would be a good opportunity to open a buy position with a bullish view. If you see a rally or the price becoming stable during the New York session, then this would be the best course of action. For fundamentals, there is nothing much happening for AUD. But the USD will see some action with the manufacturing PMI release.
