Friday, 22 June 2012

GBP/USD 22 JUNE 2012


GBP/USD - follow me on twitter @fxdailyforecast and stocktwits.com/fxg
Price broke the A support low, thereby not making higher lows anymore and starting the reversal process on this timeframe.

FOR TODAY:
We will look to sell after a rally followed by a bearish cs formation.
Will not be looking to trade long trades, but using them to establish short entries.

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

SHORT: Will be going short only IF:
We will look to sell a bearish cs from current levels – past support becoming resistance,  or higher up at 5650 –past support becoming resistance and a 382, or higher up at 5700 – 618 and round number, failing this we have a 786 at 5734. Place stop 13 pips above cs formation, max 1% risk, limits defined at time of entry.
A sustained break of 5777 opens the upside again.

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

LONG: Will be going long today only IF:
Rallies will be used to establish short entries since we have broken support and started 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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