Friday, September 26, 2008

9-26 AUD/USD Fractal (TSR) Trade




After some more backtesting and watching the AUD/USD range for a few days, I took note of a candle close on the 4 hour chart. After a bearish close, I waited on the retest of the TSR and traded short the retest of the former fractal now acting as resistance. I was filled at .8336, just shy of 38% retracement but a nice TSR area based on longer time frames. After the entry, I had a drawdown of 10 pips plus spread. I got a rejection of the lower (older fractal) support and got confirmation as the surges broke down the smaller fractals. This trade was trading with the overall market flow with confirmation on the longer TF.