Thursday, 22 March 2012

EUR/USD 22 MARCH 2012


EUR/USD – follow me on twitter @fxdailyforecast and stocktwits.com/fxg
No trade setup on Euro yesterday, price fell all the way to the A low and bounced, this was after our trading session.

FOR TODAY:
With price bouncing out of the A low yesterday, we can expect price to rally to the BF786 today at least. We will look for a bearish cs formation circa BF786 for a short entry. Else if price rallies and breaks the B high at 3284 then we will have a new AB swing in play.

SHORT: WILL ONLY BE GOING SHORT IF:
If price rallies to the BF786 followed by a bearish cs formation we will enter a short trade. This will be good for a limit down at the A low. Place stop 13 pips above the high of the cs formation, max 1% 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 need a dip followed by a bullish cs formation for a long trade setup, preferably around yesterdays lows, this will be good for a 100 pip rally since it would be a DD entry. Place stop 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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