Hi there, thanks for clicking. Here on NZDCAD, a nice little ascending wedge pattern has began to form from an initial push down. This could be a good indication for the price to fall if the price breaks outside the wedge pattern which is important to note has began to lose a bit of momentum. E.g. Bullish Hammer pattern have began to form indicating that the price is beginning to be pushed back by the amount of sellers in the market. This setup could be seen as valid but as we all know the markets can do anything. Therefore caution is advised.
At the moment, the initial pull-back back into the support which was broken by selling pressure could be a good confirmation if the resistance holds. Furthermore, if we see a bearish candle close when the ascending wedge breaks next we could be looking to get into the market as this would be a good sell indication. Currently, we are still waiting for the setup to be valid, but keep your eyes on this pair as we could be looking at a huge impulsive movement.
Good luck.
Caution is to be advised when trading. Please always use proper risk management.
At the moment, the initial pull-back back into the support which was broken by selling pressure could be a good confirmation if the resistance holds. Furthermore, if we see a bearish candle close when the ascending wedge breaks next we could be looking to get into the market as this would be a good sell indication. Currently, we are still waiting for the setup to be valid, but keep your eyes on this pair as we could be looking at a huge impulsive movement.
Good luck.
Caution is to be advised when trading. Please always use proper risk management.
Trade closed: stop reached