Friday, 3 June 2011

GBP/USD DAILY FORECAST 3 JUNE 2011


ABBREVIATIONS
cs – Candle stick
PT – Position Trade
BF – B Failure
C786 – Counter 786

GBP/USD – HOURLY CHART

NO TRADING TODAY, PAYROLL DAY, BROKERS MIGHT NOT HONOUR STOPS.

Although we not placing any trades today, here is the analysis anyway:

We are still in the bearish AB swing, same one as yesterday, price rallied shy of the 618 and fell back to the BF786 where we got a bullish cs formation to buy. That signal still holds, and from it we expect price to rally today initially to the 618, maybe 786.

SHORT: Will be going short only IF:
We get to the 618/786 and a bearish cs formation. Trade the 618 for a 60 pip limit and the 786 as a PT down to the BF786.

LONG: Will be going long today only IF:
Price falls to test the bullish engulfing candle of yesterday and gives us a bullish cs formation; trade this as a PT to the 618/786 since we came shy of a 618 yesterday.

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