EUR/USD 10 NOVEMBER 2011

EUR/USD

No trade setup on EUR yesterday, there was a bearish cs at 06h00 GMT but was not according to the system, price fell dramatically and took out the B low at 3607 giving us a new AB swing with A up at 3867, also confirming the bigger reversal on the 4h chart.

FOR TODAY:

We need a rally and a bearish cs formation, ideally around 3600-3650, if we get a bearish cs formation trade it short.

Else we will be looking for bullish cs formations on BF786 trade setups. Remember that this will be counter trend, so be prepared for bearish reversals.

SHORT: WILL ONLY BE GOING SHORT IF:

Our system only allows us to sell at the 618/786, which is higher up at 3732 and 3791 respectively. We are not expecting price to retrace all that way before we fall again, the downside has been opened by the violation of the 3607 low, so we are expecting price to accelerate to the downside.

If we get a clear bearish cs formation around the 3600-3650 area where we have past support becoming future resistance and a 382 fib level of the new AB downswing then we will short that bearish cs formation, stop above the high of the cs formation, max 1.5%, limits set at either at 100 pips, or as a ST down to 3380.

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 BF786 trade setup and a bullish cs formation thereafter. Trade this for 80-100 pips limit since it’s a shallow bounce, but be aware of bearish cs formations. Stops below the low of the cs formation, max 1.5% risk. Remember we had a dramatic fall yesterday, and today could be resumption of the downtrend, so be aware that trading long would be counter trend.

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

GBP/USD 9 NOVEMBER 2011

GBP/USD

Price gave us another entry yesterday, albeit in the same area as the previous day. Price reached our limit at 6120 and has retraced since then. The 5918 and 6049 long entries were both limited out.

FOR TODAY:

Price is at the BF786 sell territory, price gave us a bearish cs formation after hitting the BF786, we are now expecting price to fall down to the 5930 price over coming sessions, if this bearish cs formation doesn't hold,  we will still be looking to sell bearish cs formations while inside the 6165 high.

A violation of this high would be continuation of the uptrend.

Only when  price falls and takes out the 5875 low then we will be reversing on this pair.

SHORT: Will be going short only IF:

We are currently in BF786 sell territory, sell bearish cs formations down to 5930. These will be ST which we expect price to reach over coming sessions. Stop max 1.5%.

LONG: Will be going long today only IF:

Since we have reached our target at 6120, we will not be looking for buying opportunities, unless we get down to the 786 much lower down.

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

EUR/USD 9 NOVEMBER 2011

EUR/USD

We had another entry  on EUR yesterday but was more or less at the previous days price so we wouldn't take it. Price rallied for the day but has since found resistance at the the 3867 highs, giving us a bearish cs formation at the highs.

FOR TODAY:

If we cannot violate the 3867 highs then we will probably find price reversing at this level, will wait and see today if we get another stab at the highs during the London session. If we break the high on a closing basis we will be heading for 1.4000, failure here though would give reason to believe that this is the lower top and that price is heading south from here onwards.

If price falls and takes out the B low at 3607 then we will wait for a new B to form and we will have a new AB swing in play.

SHORT: WILL ONLY BE GOING SHORT IF:

Our system only allows us to sell at the 618/786, which is higher up. Trade the 618 entry for a limit of 100 pips and the 786 will be a ST to the BF786. Stops above the cs formations, max 1.5% risk.

If we get a clear bearish cs formation after failing at the 3867 highs then we can short it because of all the sideways action we’ve been having, this might become the high we have been waiting for – wait and see.

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 will still buy dips heading for 1.4000, if they present themselves.  Place stops below the low of the cs formation, max 1.5% risk. Remember if we are in a long trade setup from a dip and we get a reversal at the 3867 highs to exit the long position or at least place stop at zero.

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

GBP/USD 8 NOVEMBER 2011

GBP/USD

Price gave us a bullish cs formation on GBP yesterday. Price never rallied further though and has also retraced during the Asian session.

FOR TODAY:

We are still in the same AB swing on Sterling. Since we had a very deep bounce out of the A low again, we are looking for price to extend towards 6120. We are looking for price to break the 6078 highs to open the topside. Buy dips towards 6120, stops below the cs formation.

Else if price falls and takes out the 5875 low then we will be reversing on this pair.

SHORT: Will be going short only IF:

We get to the 6120 price level or even the 6165 highs and get a bearish cs formation, trade this as a ST to the BF786, stops above the cs formation, max 1.5% risk.

LONG: Will be going long today only IF:

We need a dip to buy into with stops below the cs formation, 1.5% max risk. Trade this as a ST to the 6120 price. 

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

EUR/USD 8 NOVEMBER 2011

EUR/USD

We had an entry on EUR yesterday at 3750, price rallied and pulled back and we are where we entered yesterday.

FOR TODAY:

We need price to break 3813, then 3867 to open the topside and head for 1.4000, we will still hold the view that we are buying into dips until 1.4000. We are expecting yesterdays low to hold. If price violates that low, we still have support at 3650, then 3607.

Else if price falls and takes out the B low at 3607 then we will wait for a new B to form and we will have a new AB swing in play.

SHORT: WILL ONLY BE GOING SHORT IF:

We get a rally and a bearish cs formation after hitting the 618/786. Trade the 618 entry for a limit of 100 pips and the 786 will be a ST to the BF786. Stops above the cs formations, 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:

Today we have a DABF786 trading day where we are looking for continuation of the rally, we are looking for dips to buy into with price heading for 1.4000. Place stops below the low of the cs formation, max 1.5% risk. Remember yesterdays trade has to be in the money by at least 50+ pips before we add to the position.

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

GBP/USD 7 NOVEMBER 2011

GBP/USD

We had a dip and a bullish cs formation on Friday afternoon, but it was at the end of the session. We are back at that price right now.

FOR TODAY:

We are still in the same AB swing on Sterling. Since we had a very deep bounce out of the A low again, we are looking for price to extend towards 6120. Buy dips towards 6120, stops below the cs formation.

Else if price falls and takes out the 5875 low then we will be reversing on this pair.

SHORT: Will be going short only IF:

We get to the 6120 price level or even the 6165 highs and get a bearish cs formation, trade this as a ST to the BF786, stops above the cs formation, max 1.5% risk.

LONG: Will be going long today only IF:

We need a dip to buy into with stops below the cs formation. Trade this as a ST to the 6120 price, add to the previous position. Remember 1.5% max risk on the stop.

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

EUR/USD 7 NOVEMBER 2011

EUR/USD

No entry on EUR on Friday, we had the dip we were looking for but price never gave us a clear bullish sign that we were going long.

FOR TODAY:

We are still looking for price to extend towards 1.4000, we will still hold the view that we are buying into dips until 1.4000. We are expecting Fridays low to hold, so bullish cs formations inside that low will be a trade opportunity. Else if price violates that low, we still have support at 3650, then 3607.

Else if price falls and takes out the B low at 3607 then we will wait for a new B to form and we will have a new AB swing in play.

SHORT: WILL ONLY BE GOING SHORT IF:

We get a rally and a bearish cs formation after hitting the 618/786. Trade the 618 entry for a limit of 100 pips and the 786 will be a ST to the BF786. Stops above the cs formations, max 1.5% risk.

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

LONG: WILL ONLY BE GOING LONG TODAY IF:

Today we have a DABF786 trading day where we are looking for continuation of the rally, we are looking for dips to buy into with price heading for 1.4000. Place stops below the low of the cs formation, max 1.5% risk.

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

GBP/USD 4 NOVEMBER 2011

GBP/USD

We had a test of the support yesterday and a bullish cs formation, price came back and tested the 50 pip max level but my broker never filled me. Price rallied for the rest of the session.

FOR TODAY:

We are still in the same AB swing on Sterling. Since we had a very deep bounce out of the A low again, we are looking for price to extend towards 6120. Buy dips towards 6120, stops below the cs formation.

Else if price falls and takes out the 5875 low then we will be reversing on this pair.

SHORT: Will be going short only IF:

We get to the 6120 price level or even the 6165 highs and get a bearish cs formation, trade this as a ST to the BF786, stops above the cs formation, max 1.5% risk.

LONG: Will be going long today only IF:

We need a dip to buy into with stops below the cs formation. Trade this as a ST to the 6120 price, add to yesterdays position, assuming you guys got filled. Remember 1.5% max risk.

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

EUR/USD 4 NOVEMBER 2011

EUR/USD

There was a BF786 trade entry yesterday but stop was too big for the trade. Price did come back to test the level late in the session after the interest rate announcement came out of ECB.

FOR TODAY:

We are looking for price to extend its rally today heading for 1.4000 where we have a 618 fib. We are looking to buy dips to that level, stops below the cs formations.

Else if price falls and takes out the B low at 3607 then we will wait for a new B to form and we will have a new AB swing in play.

SHORT: WILL ONLY BE GOING SHORT IF:

We get a rally and a bearish cs formation after hitting the 618/786. Trade the 618 entry for a limit of 100 pips and the 786 will be a ST to the BF786. Stops above the cs formations, 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:

Today we have a DABF786 trading day where we are looking for continuation of the rally, we are looking for dips to buy into with price heading for 1.4000. Place stops below the low of the cs formation, max 1.5% risk.

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

GBP/USD 3 NOVEMBER 2011

GBP/USD

We were stopped out at zero on the long trade setup we were in, price never rallied higher.

FOR TODAY:

Price dropped down to the A low but never broke it convincingly and on a closing basis. We have bullish support there and a bullish cs formation at the low. Will wait for a clearer setup though since the bullish cs was during the Asian session.

Else if price falls and takes out the A low then we will be reversing on this pair.

SHORT: Will be going short only IF:

We get to yesterday’s highs and get a bearish sc formation, or else higher up at the BF786 get a bearish cs formation.  The BF786 will qualify as a ST down to the A low since we would have had an A low prior bounce.

LONG: Will be going long today only IF:

We get a test of the support created in Asia and a bullish sc formation, trade this as a ST up to the BF786.

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