GBP/USD 16 APRIL 2012

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No trade setup on Sterling on Friday past. Price fell without testing 6006.

FOR TODAY:

Today we will look for price to resume the fall, we will look to sell after rallies and bearish cs formations.

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

SHORT: Will be going short only IF:

We get a rally followed by a bearish cs formation. Place stop 13 pips above the high of the cs formation, max 1% risk. Limits will be defined later.

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 price to find support here at 5800 followed by a bullish cs formation for a long entry. Limits here will be at 60-70 pips, place stop 10 pips below the low, max 1% risk.

Else we need a retracement down to the 618/786 followed by clear bullish cs formations at either of those levels.

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