Friday, 27 July 2012

GBP/USD 27 JULY 2012


GBP/USD - follow me on twitter @fxdailyforecast and stocktwits.com/fxg
Price rallied yesterday towards the A high but never took it out.

FOR TODAY:
Today is a DA86 trading day where we will look for a test of the high followed by a clear bearish cs formation for a short trade setup.
A sustained break of 5736 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.

SHORT: Will be going short only IF:
We will look for a test of the high followed by a clear bearish cs formation for a short trade setup. Place stop 13 pips above the high of the cs formation, max 1% risk, limits down at 5530.

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 get a dip followed by a clear bullish cs formation, telling us that price might be targeting the highs.

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

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