Trade Set ups - Feb 25th

Weekly trade set ups for the week starting Feb 25th, 2012

Trade #: 2502AUDNZD
AUDNZD - 30 M, LONG

Entry: 1.23047
Exit: 1.23645 (598)
S/L: 1.22875 (77)
Time: 25th Feb 11:30

Notes: We see a perfect Wolfe Wave being formed, along with the contrary wave formation. However, price within the contrary wave hasn't yet been reached. Once this is confirmed, taking up entry at 1.23047 is ideal. Watch for any breach of the TL 1, 3, 5 from the main Wolfe Wave. Wait for reversal and then go long. Over all, i'm quite convinced on this trade set up.

Trade #: 2502AUDUSD
AUDUSD - 15 M, LONG

Entry: 1.03033
Exit: 1.04131 (1098)
S/L: 1.02738 (1393)
Time: 25th Feb 12:00

Notes: The AUDUSD 15 minute chart shows an incomplete Wolfe Wave, especially in the inner contrary wave. We expect price to fall to the main TL 1, 3, 5 at 1.03032. A possible piercing of the main TL 1, 3, 5 should be expected before price reverses.

Trade #: 2502EURJPY-1
EURJPY- 30 M, SHORT

EURJPY - SHORT
Entry: 123.338
Exit: 122.943
S/L: 123.591
Time: 25th Feb 03:30

Notes: There are two potential trades to be taken from the EURJPY chart. The first trade will be a short, as pivot 5 hasn't been formed yet. However, TL 1,3 shows the expected price when Pivot 5 is formed. Therefore, we go short at 122.945 and set our stop on the EPA line which is 123.444. We'll set our take profit at 123.44. This is better depicted in the next chart below.

Trade #: 2502EURJPY-2
EURJPY- 30 M, LONG

Entry: 122.528
Exit: 123.849
S/L: 122.209
Time: 25th Feb 08:30

Notes: This trade is still premature and built upon speculated price points. Therefore, trading this blindly could lead to a losing trade. On the otherhand, there is a possibility to book profits both on a bearish and a bullish bias.

On the longer term Wolfe Wave, we expect price to fall to the TL 1, 3 (5 hasn't been formed yet). Pivot 5 will be formed when the contrary wave is completed (and this will be our first trade, mentioned above).

Once pivot 5 is established, wait for price reversal to go long.

Footnotes
Because this is my very first analysis of Wolfe Waves, I will keep it simple, restricting my analysis to the 3 pairs, 4 trades. I will revisit these trades at or around the ETA for the trades to see how good or bad we have done.