EUR/USD 2 MARCH 2012

EUR/USD – follow me on twitter @fxdailyforecast

No trade setup on EUR yesterday, price dipped past the 618 and found support at 3280.

FOR TODAY:

We are still in the 618 area of the AB swing, we will buy a bullish cs formation if we get one from current levels, or lower down at the 786.

SHORT: WILL ONLY BE GOING SHORT IF:

We need a rally to the BF786 followed by a bearish cs formation for a short entry, place stop 13 pips above the high of the cs formation, limits down at 3250 – assuming yesterdays low holds, else the limit will change.

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

Price has broken through the 618 and we are back there again, a bullish cs formation from current levels will be a long trade setup, telling us that yesterdays low is holding. If this fails then we have a 786 lower down, trade a bullish cs formation after price hits the 786. Stop 10 pips below the low of the cs formation, limits for the 618 entry will be 70 pips, and the 786 will be a ST.

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