EURCHF H1 Bullish AB=CD Pattern

16 Jun 2011
Daily Chart :
 Bullish crab had been formed on EURCHF daily chart. 0.618XA for B point and 0.382AB for C point validate this pattern which takes 3 month to complete. This example show an important to wait for all the PRZ level had been test especially 1.618XA for a crab pattern.
On 1 Jun 2011 price action had test 3.618BC at 1.2090 and quickly reverse from a predominant down trend a day later. Despite that i'm still considering this pattern still not yet complete as price action not yet test the very important level in crab pattern  which is 1.618XA at 1.1940. This cause this pair in consolidation for more than a week. A clear completion of this bullish crab pattern could be seen on the chart as price action are testing 1.618XA at the moment.

 H1 Chart:
On the H1 chart we could see a bullish AB=CD pattern.
0.786AB retracement at C point define a reciprocal ABCD pattern which make D point must be at 1.27BC . Convergence of 1.27BC and AB=CD at 1.1940 complement the area for PRZ Zone.

1.1940 possess a very important pivot level as it represent 1.618XA on the daily and AB=CD on the hourly chart. Such situation making this setup possess very sharp reversal.As seen price action quickly reverse after merely test the 1.1940.
Entry: Buy at 1.1983.

UPDATE 17 Jun 2011

Breakout on the 5M supply zone. Next supply zone should be at 1.2105-1.2125. I had lock in profit below current supply zone at 1.2010.Very extra cautions must be taken in this trade as tension remain in EU regarding greece bailout etc.Risk averse condition on Friday trading also my reason i lock in profit quickly in this trade.

Update : SL had been triggered at 1.2010 for 27 pips profit.

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Posted in: AB=CD,Bullish,EURCHF

EURCHF Bearish Crab

EURCHF Bearish Crab pattern on H1 chart.
B point at 0.618XA retracement.While C point at 0.886AB retracement.

PRZ Zone is define by two important level of 1.618XA and 2.618BC retracement at 1.2220 area.

Convergence of this two key level could give a strong resistance to go short at 1.2220 area.

UPDATE

This trade quite difficult to follow as this week there are many news regarding euro zone especially greece bailout. I had short this pair first time at 1.2220. Price action reverse nicely from predominant trend with rejection to 1.2170. Unfortunately after that there got talk from ECB's Shark show some hawkish in the greece situation.Price action quickly respond to this hawkish talk which bring eurchf back to PRZ pivot . At this time my position had been take out with a break even.
Even though with the hawkish talk, price action was unable to show clear rejection of  PRZ pivot which bring me to reenter again at 1.2206.

UPDATE

Take a look at EURCHF M5 chart. There are demand zone on 1.2170-1.2185.For third times price action unable to breakout from this zone.On the 2nd test there was hawkish talk from ECB's Shark which bring back this pair to supply zone at 1.2210-1.2230.
I had closed 2/3 of my position with respect of the strong demand zone and to reduce my risk.I'm not quite confident with this pair right now.
Lot of uncertainty in the EUR Zone with all the focus is on greece bailout make this pair like roller coster today.

UPDATE

Exit EURCHF position at 1.2131 with a 75 pip profit. Don't like very much at the price action for EUR today.

Demand zone on M5 chart provide a good place for a profit taking.

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Posted in: Bearish,Crab,EURCHF

EURCHF Bullish Crab

13 Jun 2011

Bullish Crab on H1 EURCHF chart. B point at 0.618XA retracement.C point at 0.886AB retracement.

PRZ Zone is define by convergence of two important lines. 1.618XA retracement at 1.1980 and 2.618BC projection at 1.1970. It is best to wait until this two important line being tested before go long on this pair.

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Posted in: Bullish,Crab,EURCHF