EUR/USD 7 DECEMBER 2011

EUR/USD

No trade setup on Eur yesterday, price did give us a bullish cs formation, but it never bounced off the 786. We have rallied since.

FOR TODAY:

We will look for price to continue up today and we will be buying dips after bullish cs formations until price reaches the BF786.

Else if price falls and takes out the A low down at 3258 then we will be reversing on this timeframe.

SHORT: WILL ONLY BE GOING SHORT IF:

We get a rally and then a bearish cs formation for a short either inside the 3485 highs, or higher up at the BF786 AT 3501.  The limit for this entry will be at the 786 since we had a 618 prior bounce. Stop above the cs formation, max 1.5% risk.

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 clear bullish cs formation at or inside yesterdays lows, or down at the 786, or inside the A low. Trade this to the BF786. Stops below the low of the cs formation, max 1.5% risk.

For Position traders – The long trade is still open. We can still add to this position if we get entries mentioned above, all limiting out at the 618 higher up – 3851, unless we reverse on this timeframe before we hit the 618. Stop for entry is at zero already.

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