Monday, April 13, 2009

EUR/USD & AUD/USD Action

I shorted the EUR/USD this morning on the first move up above 1.33 for +40. Began scaling in again around 1.333-1.334 in anticipation of the original expected bounce at the 50% fib but price blew through to 1.338. I reduced my initial short (closed at BE) and added an additional short up at 1.338. Closed all positions just a few minutes ago with the drop back down to 1.3335 for a small gain.

My thinking was to continue scaling in for a bounce at the 68% or 1.34-1.3415 but I will instead try and play that bounce directly tonight/tomorrow. 1.35 corresponds with the overall trend down and I wouldn't mind scaling up to that price range for the eventual long haul back to 1.31

I'm also in with a tiny short on the AUD/USD, trying to pick up 80-100 points on a bounce from .73 (previous resistance high). R:R looks too good to pass up yet since I don't often trade this pair, I'm keeping the position size tiny.

Some screenshots below show what I'm looking for...

EUR/USD:



AUD/USD:

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