AUDUSD update (exact level to trade)

AUDUSD

Hey traders, how is your trading going so far this week?

I hope you have been able to take advantage of my previous analysis, if you did, I’d like to know how it went…

Last tuesday I analyzed the AUDUSD long term charts and my conclusion was that we needed to wait a little longer before taking any trade.

Today its Thursday, so I’d way its enough waiting, dont you think?

So maybe its about time to take a trade here… but first let me show you the short term analysis.

AUDUSD Short term Analysis

Here is the hourly chart:

AUDUSD 1H

The AUDUSD traded in a short term range around an important long term level, so we needed to wait for the market to break that short term range.

It looks like the AUDUSD already broke through that range, and right now its being rejected from the ST resistance level (0.8993). So if that level gets confirmed, and it breaks the previous low, I’ll definitely go short.

Here are the details of my pending order:

Sell stop entry: 0.8918
SL: 0.9003
TP: 0.8728

I know, I know, the SL is too wide, but you can just lower the trading size to make it fit your risk profile… alright?

Your turn

What do you think about the AUDUSD? Do you agree that it is trading in a bearish condition?

Are you currently looking for short opportunities in the AUDUSD?

What other currency pairs are you trading/monitoring?

Share your thoughts

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Raul Lopez

I've been trading the markets for more than 15 years. I believe the best way to trade is by adapting to the market conditions. You can learn it too, join our community .

  • Muhammad Ali Awan

    Hi Raul,
    Will AUDUSD go below the level of 0.8728.

    • Raul Lopez

      Hello Muhammad,

      It is now trading near an important level, so we need to wait a little longer before we start looking for trade opportunities!

  • Muhammad Ali Awan

    Hi Raul,
    Will AUDUSD touch the level price of 0.8728.

    • Raul Lopez

      Well Muhammad, I think it will… but no one knows for sure, there is no crystal ball!

      Good luck!

  • Varahala Babu

    hi raul …is it worth trading this aud/cad chart in bearish condition to its next support level 0.9420. and 1.0021 is valid or not ?

    • Raul Lopez

      I have another level at 9611… But let me ask you one question, I remember once you mentioned something about trading 3 standard lots, now you are trading 6 standard lots… How do you determine the amount of lots that you are going to trade (a.k.a. Money Management)?

      You need a well defined MM technique…

      Good luck and have a great week!

      • Varahala Babu

        hi raul thanks 5 % per trade…but this trade is so confident thats why i have increased lot size

        • Raul Lopez

          I’d suggest you to stop doing that… there are no such things as “good signals” or “bad signals”, they are just “signals”…

          What we think, or how confident we are about any signal, is irrelevant to the market… In fact, I’d worry more about those signals where you are “more confident”…

          Good luck!

  • pduarte

    Hello Raul,

    About the AUDUSD, dont you consider the 0.8925 zone a LT suport ( Feb. 7 to Mar. 13)?
    And considering that the AUD is close to LT S/R level in several other currency pairs, can’t we expect a reaction to that zone?

    Cheers

    • Raul Lopez

      Hello Paulo, thank for noting that… but I’m using that as a zone Feb. 7 to Mar. 13), take a look at the short term charts and you’ll see what I mean… It already broke through that zone…

      Let me know what you think.

      • Said

        Hi Raul, I agree with pduarte that 0.8918 will act as a support.
        however your trade plan is right if you consider a SL of at least 5 times greater than the one you mentioned.

        • Raul Lopez

          Hello Said,

          I wouldnt take a trade with such a large SL… I’m a firm believer in taking trades with at least a 2:1 RRR…

          Thank you for your feedback though!

          Have a great weekend!

  • Varahala Babu Chelluru

    hi raul…..i have did some analysis for aud/cad bearish , and eur/jpy bullish do you agree

    • Raul Lopez

      Havent had a chance to look at them, I’ll let you know once I look at them…

      • Varahala Babu Chelluru

        thanks bro..

        • Raul Lopez

          No problem!

      • Varahala Babu Chelluru

        hi raul …did you see the aud/cad bearish , and aud/jpy bullish do you agree

  • Varahala Babu Chelluru

    hi raul …i have executed 3 standard lots as it is as you mentioned above…

    • Raul Lopez

      Its still a pending order right?

      • Varahala Babu Chelluru

        hi raul.. yes it`s a pending order….as it is in the article

        • Raul Lopez

          Ahhh good! I gor scared for a moment… I’d recommend you to take off your order over the weekend and place it back again on Monday…

          You know how these gaps are sometimes…

          Good luck!

  • aj

    Thanks Raul, I will keep my eye on this.

    • Raul Lopez

      Good! good luck to us then!

  • amp888

    Hi Raul,
    Sell stop 0.8918 entry on AUDUSD, isn’t it near 4H and Daily support level ?

    • Raul Lopez

      Hello Amp, that’s a zone… And if you take a look at the ST charts, you’ll se that the AUDUSD already broke through that zone!

      Let me know if you have further questions!

      • amp888

        Thanks Raul,
        That is breakout trade. Normally, shouldn’t we wait for pullback before entering short the pair ?

        • Raul Lopez

          Hey Amp,

          When the market is already trading in a clear market condition, breakout trades have a good potential to follow through…

          That’s not the case when the market trades near an important LT level, which is when I never taje breakout trades.

          Cheers,

  • Muhammad Ali Awan

    Thanks Raul…

    • Raul Lopez

      No problem Muhammad! Are you going to take this trade?

      • Muhammad Ali Awan

        Yes, I am going to take this trade.

        • Raul Lopez

          Good luck Muhammad!

  • Waqas Khan

    thanks u so much for sharing your trade.

    • Raul Lopez

      No problem Waqas, let me know if you have any question about it!

      You can post your questions here!

      Good luck!