EUR/USD 14 DECEMBER 2011

EUR/USD

Price gave us a BF786 and a bullish cs formation yesterday, the trade lost 48 pips. Price then went on to take out the B low giving us a new AB downswing.

FOR TODAY:

We now have a downtrend in place, we should only sell rallies at the 618/786 after bearish cs formations. The new A is up at 326, with the B down at 3008.

SHORT: WILL ONLY BE GOING SHORT IF:

We rally to the 618/786 of this AB swing and then get a bearish cs formation. Stops above the cs formation, the 618 will be a 100 pip limit and the 786 will be a ST to the BF786.

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

LONG: WILL ONLY BE GOING LONG TODAY IF:

We don’t have a swing high, so we will not have a BF786 set up in today's session.

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

GBP/USD 13 DECEMBER 2011

GBP/USD

Sterling fell to the A low but never broke the support, instead it bounced off the support giving us a bullish cs formation at the A low, this should be good for a rally to 5720.

FOR TODAY:

Today will be a DA ALOW trading day where we will be looking to buy dips to 5720. These will all be ST’s.

Only if price takes out the A low at 5525 then we will be reversing on this timeframe.

SHORT: Will be going short only IF:

We get to the 5734/69 highs and then get a bearish cs formation,  stop above the cs formation, max 1.5% risk, limit will be down at the A low at 5525.

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 dips and bullish cs formations, buy these until price reaches 5720.

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

EUR/USD 13 DECEMBER 2011

EUR/USD

Eur gave us the bullish cs formation we were looking for yesterday, but it failed and we lost 30 pips, price went on to take out the A lows doing a reversal on the 1h time frame.

FOR TODAY:

We now have a new B low down at 3160, we can only buy on a BF786 after a bullish cs formation, or sell up at the 618/786 of this huge AB swing.

SHORT: WILL ONLY BE GOING SHORT IF:

We rally to the 618/786 of this AB swing and then get a bearish cs formation. Stops above the cs formation, the 618 will be a 100 pip limit and the 786 will be a ST to the BF786.

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

LONG: WILL ONLY BE GOING LONG TODAY IF:

We get a test of the BF786 and thereafter we get a bullish cs formation. Trade this for 100 pips since it’s a shallow bounce. Stops below the cs formation.

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

GBP/USD 12 DECEMBER 2011

GBP/USD

Price rallied on Friday and gave us the bearish cs formation we were looking for, but once again the stop was too big to take the trade.

FOR TODAY:

Sterling seems stuck in a range roughly between the 86 of the upswing and the BF786, approx a 200 pip range. We need a break of either to give us clearer direction.

Today we look for a test of the bearish cs formation and expect price to continue the fall, else if we get a bullish cs formation we will trade long, this will tell us that support is holding.

Only if price takes out the A low at 5525 then we will be reversing on this time frame.

SHORT: Will be going short only IF:

We get to the 5734/69 highs and then get a bearish cs formation,  stop above the cs formation, max 1.5% risk, limit will be down at the A low at 5525.

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 bullish cs formation inside Fridays lows, or lower down while inside the A low, this will qualify as a ST to the BF786, stop below the low, max 1.5% risk.

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

EUR/USD 12 DECEMBER 2011

EUR/USD

Eur gave us the bullish cs formation we were looking for on Friday, but this was a ST to the BF786, price fell back to our entry and we were stopped out at zero.

FOR TODAY:

Today will be a DA86 trading day where we again be looking to buy dips towards the BF786.

Else if price falls and takes out the A low down at 3258 then we will be reversing on this timeframe.

SHORT: WILL ONLY BE GOING SHORT IF:

We get a rally and then a bearish cs formation for a short either inside 3433/3458 highs, or higher up at the BF786 at 3490.  The limit for this entry will be at the A low since we had an 86 prior bounce. Stop above the cs formation, max 1.5% risk.

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

LONG: WILL ONLY BE GOING LONG TODAY IF:

We get a clear dip and a bullish cs formation, either at or inside Friday's lows, or lower down inside the A low. Trade this to the BF786. Stops below the low of the cs formation, max 1.5% risk.

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

GBP/USD 9 DECEMBER 2011

GBP/USD

Price gave us the bearish cs formation after hitting the BF786 yesterday, but that trade was stopped out. We then had another bearish cs formation but the stop was too big for the trade, we have fallen since.

FOR TODAY:

Today we look for a test of the bearish cs formation and expect price to continue the fall.

Only if price takes out the A low at 5525 then we will be reversing on this time frame.

SHORT: Will be going short only IF:

We are looking for a test of the bearish cs formation yesterday, trade a bearish cs formation after a rally, stop above the cs formation, max 1.5% risk, limit can be down at the A low at 5525.

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 can trade a long trade setup if price falls to the 86 at 5561 and gives us a bullish cs formation at that level, this will qualify as a DD entry and will attract a limit at the BF786.

For position traders – The long trade was exited as per post yesterday with 65 pips profit.

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

EUR/USD 9 DECEMBER 2011

EUR/USD

Price fell and negated the long trade we were in and we lost 1.5% on that trade. Price then went on to find support at the 86fib retracement.

FOR TODAY:

Today will be a DA86 trading day where we look to buy dips towards the BF786.

Else if price falls and takes out the A low down at 3258 then we will be reversing on this timeframe.

SHORT: WILL ONLY BE GOING SHORT IF:

We get a rally and then a bearish cs formation for a short either inside yesterday’s highs, or higher up at the BF786 at 3491.  The limit for this entry will be at the A low since we had an 86 prior bounce. Stop above the cs formation, max 1.5% risk.

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

LONG: WILL ONLY BE GOING LONG TODAY IF:

We get a clear bullish cs formation at or inside yesterdays lows, or lower down inside the A low. Trade this to the BF786. Stops below the low of the cs formation, max 1.5% risk.

For Position traders – The trade was stopped out at zero.

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

11H25 GMT UPDATE FOR GBP/USD 8 DECEMBER 2011

GBP/USD
For Position Traders - Price has hit the BF786 and has given us a bearish cs formation as seen above. According to the system this is a sign that we might be in for a fall down to 5538 over coming sessions since we have had an 86 prior bounce.
Traders might want to exit the long trade with some 65 pips depending on fill.


If the bearish cs fails and price continues up and violates the B high, then we will have a new AB swing and we will wait for a retracement on that swing for a buy entry.

GBP/USD 8 DECEMBER 2011

GBP/USD

Price gave us the dip and the bullish cs formation we were looking for yesterday and rallied to the limit-10 pips inside the BF786 as per analysis for a profit of 87 pips.

FOR TODAY:

We are close to the BF786 which will be sell territory IF we get a bearish cs formation. Else we expect price to rally and take out the B high at 5779 giving us a new AB swing.

Only if price takes out the A low then we will be reversing on this time frame.

SHORT: Will be going short only IF:

We need price to hit the BF786 at 5732 and thereafter give us a bearish cs formation. The cs formation can be anywhere inside the B high .This will be a ST and will have a limit down at the A low since we had an 86 prior bounce, stops above the cs formation, max 1.5% risk.

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 have already reached the limit at 5722, but if we get a clear dip and a bullish cs formation we can trade long since price will probably then rally to violate the B high.

For position traders – The long trade was re-established on yesterdays dip  and we will see if we get a break of the B high to open the topside for rallies higher up.

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

EUR/USD 8 DECEMBER 2011

EUR/USD

Price gave us the bullish cs formation inside the previous day’s lows as per our daily analysis. We went long and we are still in that trade, with limits set up at the BF786 -10 pips inside.

FOR TODAY:

We will look for price to continue up today and we will be buying dips after bullish cs formations until price reaches the BF786, we can only add to current position once we are 50+ pips in the money on the current entry.

Only if price falls and takes out the A low down at 3258 then we will be reversing on this timeframe.

SHORT: WILL ONLY BE GOING SHORT IF:

We get a rally and then a bearish cs formation for a short either inside the 3485 highs, or higher up at the BF786 at 3501.  The limit for this entry will be at the 786 since we had a 618 prior bounce. Stop above the cs formation, max 1.5% risk.

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

LONG: WILL ONLY BE GOING LONG TODAY IF:

We get a clear bullish cs formation at or inside yesterdays lows, or down at the 786, or inside the A low. Trade this to the BF786. Stops below the low of the cs formation, max 1.5% risk.

For Position traders – For Position traders – We added to the long entry yesterday with the dip and the bullish cs formation. Limits for both trades are still 10 pips inside the daily 618 at 3841. Stop for first trade is at zero. We will exit on a reversal on this time frame, or on a BF786 after a 786/86 prior bounce.

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