FX:AUDCAD   Australian Dollar/Canadian Dollar
52 2 0
I am describing my thoughts as though we are nearing market close. Price has been consolidating in a small-time range (as indicated by the upper box), and today has formed a Bearish Engulfing Outside Bar ( BEOB             ) which has broken out of this range. Further supporting this bearish outlook, appears to be divergence between price and MACD data. This can be looked at both short term (red trendline ) or long term (not shown).

Taking the break of the bar, I believe the first trouble area for price would be the minor support level of 1.01500 (the bottom of the second consolidation box). At this point I would take partial profit and move the rest to break even hoping for price to reach the major support level of 1.00500.

It is nearing market close and the size of the BEOB has remained, and my trade parameters have been set. They are as follows:

Stop Loss - 1.03300
Entry Price - 1.21400
Take Profit 1 - 1.1500
Take Profit 2 - 1.00500

Once price meets my FTP level I plan to move my stop straight to break even, therefore leaving me in a free trade and hoping price will go continue to the major support level of 1.00500.
*Entry Price - 1.02140
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