Wednesday, 12 October 2011

EUR/USD 12 OCTOBER 2011


EUR/USD
Price gave us a bearish cs formation yesterday, but the stop was too big and price only came back to the entry point very late in the day which suggested that the fall would be delayed. Price then gave us a bearish cs formation at the end of the US session which is outside our trading hours.

FOR TODAY:
If price rallies to test the highs of last night and gives us a bearish cs formation we will trade it short.
Else if price just rallies up and takes out the high at 3715 on a closing basis, we will then be reversing on the 1H timeframe.

SHORT: WILL ONLY BE GOING SHORT IF:
We get another run at the highs and then get a bearish cs formation. Trade this formation as a ST down to the BF786. Stops above the cs formations, 50 pips max.

If we don’t get the cs formations we are looking for at the fib levels then we don’t trade.

LONG: WILL ONLY BE GOING LONG TODAY IF:
Price gets down to either the lows of yesterday and gives us a bullish cs formation, or we fall to the BF786 – which is far off - and gives us a bullish cs formation for a long trade setup. If this occurs, place stop below the low of the cs formation, max 50 pips stop, limit will be at the A high since we would have had an A prior.

If we don’t get the setup we are looking for then we don’t trade.

No comments:

Post a Comment