Hello Traders,
Here is the Top-Down Analysis of GBPCAD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 41 - 05 Oct
M > Market is moving in a well respected horizontal structure (of course with minor breakouts). Price had dropped to monthly support in middle of the structure, faced rejection and moved up.
W > On its way down price created an M formation and as expected price moved up to test the neck.
D > Price has been creating HH and HL on its way up. It created a W formation and dropped till neck to complete the formation.
As per COT GBP saw closure of Long and addition of major short positions bringing net position to -ve, whereas N-R saw closure of both Long and Short, Commercials saw addition of Long and closure of Short. BXY was weak for the said week but it improved its position last week. CAD saw closure of both Long and Short positions, N-R saw addition of Long and Short positions and Commercials saw closure of both Long and Short, confirming weakness of CAD for the said week. CXY gained strength last week.
4H > Price is not able to move above the resistance created by the neck. We need to wait for its break for confirmation of bullish move.
Pair Correlation: GBPCAD has positive correlation with GBPAUD, GBPCHF, GBPUSD and GBPNZD and negative correlation with EURGBP..
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section you can share your view and ask questions.
Thank You
AP17FX
Here is the Top-Down Analysis of GBPCAD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 41 - 05 Oct
M > Market is moving in a well respected horizontal structure (of course with minor breakouts). Price had dropped to monthly support in middle of the structure, faced rejection and moved up.
W > On its way down price created an M formation and as expected price moved up to test the neck.
D > Price has been creating HH and HL on its way up. It created a W formation and dropped till neck to complete the formation.
As per COT GBP saw closure of Long and addition of major short positions bringing net position to -ve, whereas N-R saw closure of both Long and Short, Commercials saw addition of Long and closure of Short. BXY was weak for the said week but it improved its position last week. CAD saw closure of both Long and Short positions, N-R saw addition of Long and Short positions and Commercials saw closure of both Long and Short, confirming weakness of CAD for the said week. CXY gained strength last week.
4H > Price is not able to move above the resistance created by the neck. We need to wait for its break for confirmation of bullish move.
Pair Correlation: GBPCAD has positive correlation with GBPAUD, GBPCHF, GBPUSD and GBPNZD and negative correlation with EURGBP..
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section you can share your view and ask questions.
Thank You
AP17FX