Thursday, 28 February 2013

GBP/USD 28 FEBRUARY 2013



Price gave us the long entry we were looking for yesterday at 5114, today is a DABF trading day where we are looking for price to extend gains, maybe after a minor 618 retracement before continuing up. Look to add to the position only if current trade is 50+ pips in the money. Limits for current trade can either be kept at 5250, or 100 pips. If we get a new long trade setup then watch out for bearish cs formations circa 786/86, if resistance proves to be strong then exit long trades and reverse. Remember we are expecting to find resistance at 5267.

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Will be going long if:
We will wait for a minor 618 for a long trade entry, only add to the position if the current trade is 50+ pips in the money.

Will be going short if:
The bounce yesterday leads us to believe that price is heading to 5267 over coming sessions. We are expecting to find resistance at this level so we will be looking for short entries here. If however we get a DD entry at the 618 highs then we will consider that a short entry, and exit the current long trade.

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