Monday, 26 March 2012

EUR/USD 26 MARCH 2012


EUR/USD – follow me on twitter @fxdailyforecast and stocktwits.com/fxg
Euro failed at the highs on Friday and gave us a bearish cs formation, we didn’t take the trade because the stop was too big and then the test was late in the session before the weekend close. Price is back in that same area now.

FOR TODAY:
During Asia price tested the highs and gave us an evening star indicating that price is heading lower. We have entered short on that bearish cs formation.
A violation of the 3292 highs will open the upside for this pair and resume higher highs and lows.

SHORT: WILL ONLY BE GOING SHORT IF:
We have entered short for a fall down to the BF786. Placed stop 13 pips above the high of the cs formation, max 1% risk. Limits will be down at 3180.

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 will need price to fall to the BF786 followed by a bullish cs formation, limits on this trade will be defined if we get this setup. 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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