Retesting support. Will it bounce like on a bed mattress?
We're back in what has been a pretty predictable range since mid-April. We're now back at a support level that has proven rather strong.
Even though Sunday's candle can be scary and this may look like a downtrend, there's been multiple attempts to reject the downtrend.
Fundamentally, the CAD has been weak due to negative reports but one positive note is Canada can't keep the interest low much longer. Strong economic progress will force Poloz's hand and an increase in interest rate might occur over the summer regardless of uncertainties. I write this here but I doubt his decision will affect this trade much. It's good to keep track of this for a pair such as the USDCAD.
Entry: 84.20
SL: 83.70
TP: 85.70
Even though Sunday's candle can be scary and this may look like a downtrend, there's been multiple attempts to reject the downtrend.
Fundamentally, the CAD has been weak due to negative reports but one positive note is Canada can't keep the interest low much longer. Strong economic progress will force Poloz's hand and an increase in interest rate might occur over the summer regardless of uncertainties. I write this here but I doubt his decision will affect this trade much. It's good to keep track of this for a pair such as the USDCAD.
Entry: 84.20
SL: 83.70
TP: 85.70
Trade closed manually:
Position was filled pretty fast and price never picked up. Seeing as how this pair seemed to have a strong bearish sentiment, I decided it was best to cut my loss and close before reaching SL.
Invalid idea.
Invalid idea.
Comment:
So it eventually did bounce. Unfortunately it went much lower than anticipated.