Wednesday, 16 May 2012

EUR/USD 16 MAY 2012


EUR/USD – follow me on twitter @fxdailyforecast and stocktwits.com/fxg
No trade setup on Euro yesterday, price reversed just before the 382 and fell taking out the B low giving us another AB swing, and rallying to the 1.618 of the AB swing.

FOR TODAY:
Price fell yesterday and we are still waiting for a decent B swing low to form.  Once we have the low we can draw fibs to establish where we have a 618/786 for a short entry.
Long trades are not yet considered since we don’t have the setup in place for long trades.

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

SHORT: WILL ONLY BE GOING SHORT IF:
We first need a B swing low to form, then we need price to retrace up to the 618/786 of this AB swing, followed by confirming bearish cs formations for short entries. Place stop 13 pips above the cs formation, max 1% risk. Limits defined later.

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

LONG: WILL ONLY BE GOING LONG TODAY IF
No long trade setups at present.

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

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