Tuesday, 27 March 2012

AUD/USD 27 MARCH 2012


AUD/USD - follow me on twitter @fxdailyforecast and stocktwits.com/fxg
No trade setup yesterday on Aussie yesterday. Price rallied past the 618.

FOR TODAY:
When price rallies like it did yesterday and runs past the 618 then I prefer the 786 as the next selling area. Will wait for price to test the 786 and then give us a bearish cs formation for a short trade set-up, unless we get clear failure at the highs again.
Long trades will be considered on dips followed by bullish cs formations.

SHORT: Will be going short only IF:
We need a retracement to the 786 or higher followed by a clear bearish cs formation. Limits for this entry will be at the BF786 over coming sessions. Stops will be 13 pips above the cs formation, max 1% risk.

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 followed by a clear bullish cs formation. This might be a sign that the bulls are targeting the A high. Limits on this trade will be defined at time of entry. Place stops 10 pips below the low of the cs formation, max 1% risk.

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

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