(BTW, Tim Morge does some webinars for CME/Interactive Brokers; I think they're free & open to non-IB clients with registration. Next one's on 15th Nov "CME - When your markets are not offering you trading opportunities, let Tim Morge show you two market gems he turns to". Afterwards they're downloadable but in a weird file format. I got a converter going, but the MP4s have messed up fast forward etc. PIA!)
Anyway, EURCAD got hit by some nexus of events that I don't really get, or was it just another minor correction? It's hard to maintain an unshakable faith in a given market, when it keeps making scary moves.
Looks to me like EURCAD just corrected to support on your upper green MLH... Or did I miss something?
And in the red box there's a 'two bar reversal' - what Paul Coghlan calls a 'flush', except spread over two bars:
That's bearish. And the later spike high just touched the same level. I suspect that rally has sucked a lot of people into wanting to stay long EURCAD, and it's taking a while for GS etc to dump their holdings on them even though this enthusiasm is showing up in volumes. See the EP1! EURCAD futures contract, which has volumes. When the smart money's done shifting it's stock, I suspect it's game over. (With some bounces along the way...)
(This is based on some Wyckoff material I'm looking into at the moment. I haven't fully absorbed it - Wyckoff had a very detailed model of the bull-bear cycle - but the message to be suspicious of high volume after a long rally, and these reversals/flushes, is clear enough...)
There's also a very interesting pattern, popularized by the very Wyckoff you're talking about, called 'springs' and 'upthrusts' (check this out, if you care http://www.youtube.com/watch?v=uzISUr1itWg). Paul Coghlan mentioned this pattern once too, but he didn't give credit to anybody, nor called it in any way. It happens, when a high (or a low) is taken out by a very small amount of price, just by a few pips, and then price plummets back down (or jumps up respectively). Such behavior is also one of the best indicators of a possible reversal. I placed an example below.
The signals other than those two are often misleading, so I tend to stick to the pervasive trend. I used to look for reversals as most people do, but it didn't pay. Trends were most often stronger than I thought they were. That's why I abandoned trying to catch the reversals and I'm a force follower.