AUD/USD 27 JUNE 2012

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Price gave us the bearish cs formation yesterday which failed for a loss of 40 pips. Price went on to rally to break the A high but not on a closing basis. Today we look to resumption of rally.

FOR TODAY:

Buying after dips followed by bullish cs formations will be the preferred strategy on Aussie. We look for the bulls to target the 1.0083 highs, maybe onto 1.0126.

Shorts will not be considered until we get higher up to the 1.0150 area.

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

SHORT: Will be going short only IF:

Will not be considering short trade setups at present. Yesterdays bullish bounce out of 1.0011 indicates a move higher. Bearish moves should be used to add to long positions.

A sustained break of 1.0076/83 will start a bullish reversal on this timeframe.

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

LONG: Will be going long today only IF:

Buying after dips followed by a clear bullish cs formation will be the preferred strategy today since we are looking for price to head higher. We can expect a test of yesterdays lows before we rally. Place stops 10 pips below the cs formation, max 1 % risk.

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