Wednesday, 13 June 2012

EUR/USD 13 JUNE 2012


EUR/USD – follow me on twitter @fxdailyforecast and stocktwits.com/fxg
Price gave us the bullish cs formation for a long entry early yesterday morning, but then fell back to stop us out. Price then proceeded to give us another bullish cs formation at the A support low at the end of our session.

FOR TODAY:
We will look for price to give us another stab at the lows followed by a bullish cs formation for a long entry. A sustained break of the A low negates this view and starts a reversal on this timeframe.

Shorts are considered on a test of yesterday’s highs followed by a bearish cs formation, else higher up in BF territory.

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

SHORT: WILL ONLY BE GOING SHORT IF:
We get a rally to test yesterday’s highs followed by a clear bearish cs formation, or a test of the BF followed by a clear bearish cs formation.  Place stop 13 pips above the high of the cs formation, max 1% risk. Limits defined at time of entry.

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

LONG: WILL ONLY BE GOING LONG TODAY IF
Price has already given us a bullish cs formation late in yesterday’s session. We will look for a test of that cs formation followed by a bullish cs formation for a long trade setup. Place stop 10 pips below the low of the cs formation, max 1% risk. Limit out at 2609 over coming sessions.
A sustained break of 2434 negates this view and starts a reversal on this timeframe.

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

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