EUR/USD 29 NOVEMBER 2011

EUR/USD

Price gave us a bearish cs formation after finding resistance at the 86 yesterday, this entry carries a BF786 limit down at 3261.

FOR TODAY:

Price bounced  during the Asian session and we are looking for a bearish cs formation to short again since today would be a DA86 trading day.

If price carries on rallying and takes out the A high up at 3410 then we will be reversing on this timeframe.

SHORT: WILL ONLY BE GOING SHORT IF:

Since today is a DA86 trading day, we are looking for a bearish cs formation to short down to 3261. We can only add to yesterdays position if we are more than 50 pips up on yesterdays entry.

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 down to the BF786 at 3251 and then get a bullish cs formation. Place stop below the low of the cs formation, limits will be set  10 pips inside the A high since we would have had an 86 prior.

For Position traders -  Once/ If we take out the high at 3410 and start the reversal process on this timeframe and price retraces back into the new AB swing and we get a long entry setup, we could look at placing the limit for this first trade at a fib on the daily chart and allowing price to run for a couple of days, we have a 618 up at 3851, this could be a decent target for a retracement over coming sessions.

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