GBP/USD 20 JANUARY 2012

GBP/USD

We are still waiting for a B to form, we still don’t have a decent swing high to call a B for now.

FOR TODAY:

We will have to wait for a swing high to form that we can call a B high. Once we have that we can draw fibs and ascertain where the 618/786 will be for long trade setups.

SHORT: WILL ONLY BE GOING SHORT IF:

We need a BF786 and a bearish cs formation for a short entry, right now we don’t have a B high yet. So we will need to wait for a B to form, then a swing low to form, then a BF786 setup. So probably no short trade setup on GBP today.

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 need price down at the 618/786 and a bullish cs formation for a long trade setup. But first we need a B to form before we can draw fibs.

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