Space-Traderfx

AUDCAD - Breakout or fake-out?

Short
Space-Traderfx Updated   
FX:AUDCAD   Australian Dollar/Canadian Dollar
Daily: The market is currently making correction after an huge upside impulse. Lower high and low also have been created. MACD also indicates a the bullish strength is getting weaker with more bearish momentum.

4H: The price has been consolidated for a while now. The recent bearish candle breakout the structure and approaching the 200 EMA, indicating the lower lows might create. MACD is also in a slight bearish strength.

HOWEVER, the price is currently in respect to the 200 EMA, which can act as a very strong support to bounce back up to the consolidation zone.

**What to do now? When to sell?**

- In respect to the 200EMA, we need more confirmations to identify is it a fake breakout or not.
- If the price managed to break above with strong force, the setup would be invalid..
- If the price bounce up and retest at the key area, I will wait for selling opportunities.

Don't forget to comment below if you have different ideas on this pair! Good luck to you, traders!
Trade closed: target reached
Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.