Tuesday, 21 February 2012

GBP/USD 21 FEBRUARY 2012



GBP/USD - follow me on twitter @fxdailyforecast
No trade setup yesterday, we are however still in the sell territory on this pair. A test of the highs and a bearish cs formation here will be a sell signal.

FOR TODAY:
Price found resistance at 5880 and pulled back a bit. Today we will look to see if we get a bearish cs formation will be good for a short entry. 

A sustained break of 5928 will start a reversal on this pair.

SHORT: Will be going short only IF:
We need a clear bearish sc formation for a short trade setup. Place stop 14 pips above the high of the cs formation, max1.5% risk. This will be a ST entry, with limits down at the BF786.

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

LONG: Will be going long today only IF:
We need a dip and a bullish cs formation for a long trade setup. Place stop 10 pips below the low of the cs formation, max 1.5% risk, limits will be 70 pips.

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

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