NZDCAD just confirmed it is going lower
Introduction: NZDCAD has been exhibiting a consistent pattern of lower lows and lower highs within a descending channel. The recent retest of resistance at 0.8275 presents an opportunity for us to capitalize on the potential continuation of the bearish trend.
The descending channel on the NZDCAD chart indicates a bearish bias in the market. As the price action continues to form lower lows and lower highs, it suggests that sellers have been consistently overpowering buyers.
The recent retest of the resistance level at 0.8275 provides a confirmation of the channel's validity, as the price failed to break above this level, reinforcing the bearish sentiment. This rejection at resistance suggests a potential resumption of the downward move.
Trading Plan:
Based on the technical analysis, we can establish two targets for this trade:
Target 1: 0.81257 - This level corresponds to a previous support zone within the descending channel. We could see a reaction or a potential bounce from this area, leading to a short-term pullback.
Target 2: 0.80627 - This lower target represents the lower boundary of the descending channel. A breach of the previous support level could generate further selling pressure, potentially pushing the price towards this level.
The descending channel on the NZDCAD chart indicates a bearish bias in the market. As the price action continues to form lower lows and lower highs, it suggests that sellers have been consistently overpowering buyers.
The recent retest of the resistance level at 0.8275 provides a confirmation of the channel's validity, as the price failed to break above this level, reinforcing the bearish sentiment. This rejection at resistance suggests a potential resumption of the downward move.
Trading Plan:
Based on the technical analysis, we can establish two targets for this trade:
Target 1: 0.81257 - This level corresponds to a previous support zone within the descending channel. We could see a reaction or a potential bounce from this area, leading to a short-term pullback.
Target 2: 0.80627 - This lower target represents the lower boundary of the descending channel. A breach of the previous support level could generate further selling pressure, potentially pushing the price towards this level.
Comment:
The drop has started. I will secure my SL soon...
Comment:
Approaching target 1.... I am taking some profits off the table in case of a reversal
Comment:
New lower low. Trailing SL to maintain a positive RR
Comment:
Closing 50% of my position
Comment:
Trade is still active... TP1 is close patience.
Comment:
TP1 hit!
Comment:
TP2 about to be hit! Continue securing profits and moving SL into profit zone
Comment:
TP2 hit