EUR/USD 11 NOVEMBER 2011

EUR/USD

No trade setup on EUR yesterday, price gave us the B of the AB swing and bounced strong off the low. We did get a bearish cs formation at the 3650 area as mentioned yesterday, but the fall wasn’t sustained.

FOR TODAY:

We need price to fall down to the BF786 and give us a bullish cs formation for a long trade setup.

Else we will be looking for bearish cs formations after price hits the 618/786 up at 3720/3784 respectively.

SHORT: WILL ONLY BE GOING SHORT IF:

We get to the 618/786, which is higher up at 3720 and 3784 respectively, and then get bearish cs formations. Place stops above the cs formations, max 1.5% risk, limits are 100 pips for the 618 entry – or a ST to 3380, and the 786 will be a ST to the BF786 – or down to 3380, depending on your trading style.

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

LONG: WILL ONLY BE GOING LONG TODAY IF:

We get a BF786 trade setup and a bullish cs formation thereafter. Trade this for 80-100 pips limit since it’s a shallow bounce. Stops below the low of the cs formation, max 1.5% risk.

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