AUD/USD 10 MAY 2012

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No trade setup on Aussie yesterday. We were waiting for a decent B swing low to form which we now have.

FOR TODAY:

We need to wait for a retracement to the 618/786 of this new AB swing before we can consider shorts.

Long trades are only considered after dips followed by bullish cs formations since we have already had a BF786 bounce.

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

SHORT: Will be going short only IF:

Price retraces to the 618/786 of this AB swing and gives us a bearish cs formation. Limits defined later, stops are 13 pips above the cs formation, max 1% 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:

Since we have already bounced out of the BF786, we will look to buy after dips followed by bullish cs formations. Stops are placed 10 pips below the cs formation, max 1% risk, limits define at time of entry.

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

GBP/USD 9 MAY 2012

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There was a long trade setup yesterday on Sterling and another one that presented itself now (06h00GMT). The trade is still open.

FOR TODAY:

Price tested the B low yesterday and bounced off it twice, we now have a third bounce at the opening of the 06h00 GMT candle. We will look for a rally of 60-70 pips from this bounce.

Alternatively, a break of the B low at 6113 will open the downside and give us a new AB swing and of course stop out the current long trade setup.

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

SHORT: Will be going short only IF:

We get a rally followed by a bearish cs formation after price hits the 618/786. Place stop 13 pips above the high of the cs formation, max 1% risk. Limits will be defined later.

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

LONG: Will be going long today only IF:

Price has already given us a bullish cs formation after the BF786, we are currently long this pair. Stops are 10 pips below the cs formation; limits are 60-70 pips.

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

EUR/USD 9 MAY 2012

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No trade setup on Euro yesterday, price fell to test the  B low during the Asian session and it’s still in that area.

FOR TODAY:

We can only sell up at the 618/786 of this swing.

Price is currently in buy territory and we will go long ONLY IF we get a bullish cs formation from current levels. 

A break of the 2954 B low will start a new AB swing.

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

SHORT: WILL ONLY BE GOING SHORT IF:

We need price to retrace up to the 618/786 of this AB swing, followed by confirming bearish cs formations for short entries. Place stop 13 pips above the cs formation, max 1% risk. Limits defined later.

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

LONG: WILL ONLY BE GOING LONG TODAY IF

We are in buy territory BUT will need a bullish cs formation for a long trade setup. Place stop 10 pips below the cs formation, max 1% risk. Limits will be at 3082.

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

AUD/USD 9 MAY 2012

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Price gave us a bullish cs formation yesterday after the BF786 - we went long and we were stopped out for 44 pips loss. Price went on to take out the B low giving us a new AB swing.

FOR TODAY:

We need to wait for a retracement to the 618/786 of this new AB swing before we can consider shorts.

No long trade setups at present since we don’t have an established B swing-low as yet.

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

SHORT: Will be going short only IF:

Price retraces to the 618/786 of this AB swing and gives us a bearish cs formation.

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

LONG: Will be going long today only IF:

Might not get a long trade setup today since we have to wait for an established B swing low first. Wait and see.

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

GBP/USD 8 MAY 2012

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No trade setup on Sterling yesterday, price rallied just past the 382 of the AB swing.

FOR TODAY:

Price is currently in no man’s land for our trading system, we have to wait for a retracement back to the 618/786 for a short entry, or a test of the BF786 followed by a bullish cs formation for a long entry.

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

SHORT: Will be going short only IF:

We get a rally followed by a bearish cs formation after price hits the 618/786. Place stop 13 pips above the high of the cs formation, max 1% risk. Limits will be defined later.

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

LONG: Will be going long today only IF:

Price reaches the BF786 and gives us a bullish cs formation for a long entry. Stops will be 10 pips below the cs formation, limits defined at time of entry.

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

EUR/USD 8 MAY 2012

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No trade setup on Euro yesterday, price rallied to the 50 of the AB swing.

FOR TODAY:

We can only sell up at the 618/786 of this swing, or buy after a BF786, both entries after confirming cs formations.

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

SHORT: WILL ONLY BE GOING SHORT IF:

We need price to retrace up to the 618/786 of this AB swing, followed by confirming bearish cs formations for short entries. Place stop 13 pips above the cs formation, max 1% risk. Limits defined later.

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

LONG: WILL ONLY BE GOING LONG TODAY IF

We need price to test the BF786 and give us a bullish cs formation for a long trade setup. Place stop 10 pips below 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.

AUD/USD 8 MAY 2012

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No trade set-up on Aussie yesterday. Price rallied but didn’t even reach the 382 of the AB swing.

FOR TODAY:

Price is in no man’s land (according to our system) on this pair. We need to wait for a retracement to the 618/786 of this new AB swing before we can consider shorts.

Long trade setups will be considered if price tests the BF786 and gives us a bullish cs formation.

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

SHORT: Will be going short only IF:

Price retraces to the 618/786 of this AB swing and gives us a bearish cs formation; this is very far away at present.

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 need price to test the BF786 and give us a bullish cs formation for a long trade setup. Place stop 10 pips below the low of the cs formation, limits defined at time of entry.

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

GBP/USD 7 MAY 2012

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No trade on Friday past since it was NFP.

FOR TODAY:

Price took out the A support low on Sterling starting the reversal process on this timeframe. We now have to wait for a new B swing low to form and a retracement back to the 618/786 for a short entry.

Long trade set-ups are not considered at present.

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

SHORT: Will be going short only IF:

We get a rally followed by a bearish cs formation after price hits the 618/786. Place stop 13 pips above the high of the cs formation, max 1% risk. Limits will be defined later.

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

LONG: Will be going long today only IF:

Probably no long setups today since we don’t have a decent swing low at time of writing, we also need a swing high followed by a test of the BF for a long trade set-up. Will wait for a clearer set-up.

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

EUR/USD 7 MAY 2012

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No trade on Friday past since it was NFP.

FOR TODAY:

Price has broken the B support low confirming the reversal on this timeframe and giving us a new AB swing. We can only sell up at the 618/786 of this swing, or buy after a BF786 followed by a bullish cs formation – at this time we don’t have a clear swing low followed by a swing high for a BF setup.

If we don’t get the set-up we are looking for then we don’t trade.

SHORT: WILL ONLY BE GOING SHORT IF:

We need price to retrace up to the 618/786 of this AB swing, followed by confirming bearish cs formations for short entries. Place stop 13 pips above the cs formation, max 1% risk. Limits defined later.

If we don’t get the set-up we are looking for then we don’t trade.

LONG: WILL ONLY BE GOING LONG TODAY IF

We first need a swing high before price tests the BF786 and give us a bullish cs formation for a long trade setup, will wait to see if it happens in today’s sessions. Place stop 10 pips below the cs formation, max 1% risk. Limits here will be 60-70 pips since it’s a shallow bounce.

If we don’t get the set-up we are looking for then we don’t trade.

AUD/USD 7 MAY 2012

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No trade on Friday past since it was NFP.

FOR TODAY:

Price dramatically cleared the A support low on Friday starting the reversal process on this time frame. We now need to wait for a retracement to the 618/786 of this new AB swing before we can consider shorts. 

Long trade setups will be considered if price rests the BF786 and gives us a bullish cs formation.

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

SHORT: Will be going short only IF:

Price retraces to the 618/786 of this AB swing and gives us a bearish cs formation; this is very far away at present.

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

LONG: Will be going long today only IF:

Probably no long trade setups since we need a swing high (which we don’t have as at 06h13GMT) followed by a test of the BF786. Will wait to see what happens during today’s sessions.

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