USDCAD - "Too much love will kill you" (top hunting only)
Daily:
Massive bullish trend, fundamental reasons are clear: BoC rate cut last week, Oil still under pressure and market still expects FED to be hawkish. But what if FED won't be that hawkish? What if Oil by some reason makes a double bottom and shows some correction? OK, I know these are "IFs", so let's check the technical picture in details.
On the regular daily chart we see only one thing, that the Price is probably stretched at this high, maybe it will be a blow off top, however the main picture remains bullish.
What does Heiken Ashi tell us? Bullish (green) HA candles, the oscillator is bullish too. But haDelta may call our attention, as it printed an extreme high level and crossing below SMA3. Not very dangerous, but from now it worths to watch in next few days, as a local top may be in finally.
4 Hrs:
Ichimoku setup is bullish, but the Heiken Ashi picture is very interesting here. We have only bullish HA candles, but their bodie are very small, therefor haDelta can not really go further above its SMA3 line, and also both lines are very close to zero level. With the first HA candle colour change, a close below Tenkan Sen and haDelat/SMA3 dropping below zero, we may see a quick correction down to Kijun Sen and/or the Kumo (1,2200 - 1,2250 area), or maybe even lower, towards the stronger short term bullish support at 1,2100
Please note this is just a top hunting idea, not a real strategic short setup, considered to be lot riskier than a regular counter trend swing trade. So if anyone goes short, the position size has to be reduced (to 1/2 or 1/3 of regular trade unit size only).
Massive bullish trend, fundamental reasons are clear: BoC rate cut last week, Oil still under pressure and market still expects FED to be hawkish. But what if FED won't be that hawkish? What if Oil by some reason makes a double bottom and shows some correction? OK, I know these are "IFs", so let's check the technical picture in details.
On the regular daily chart we see only one thing, that the Price is probably stretched at this high, maybe it will be a blow off top, however the main picture remains bullish.
What does Heiken Ashi tell us? Bullish (green) HA candles, the oscillator is bullish too. But haDelta may call our attention, as it printed an extreme high level and crossing below SMA3. Not very dangerous, but from now it worths to watch in next few days, as a local top may be in finally.
4 Hrs:
Ichimoku setup is bullish, but the Heiken Ashi picture is very interesting here. We have only bullish HA candles, but their bodie are very small, therefor haDelta can not really go further above its SMA3 line, and also both lines are very close to zero level. With the first HA candle colour change, a close below Tenkan Sen and haDelat/SMA3 dropping below zero, we may see a quick correction down to Kijun Sen and/or the Kumo (1,2200 - 1,2250 area), or maybe even lower, towards the stronger short term bullish support at 1,2100
Please note this is just a top hunting idea, not a real strategic short setup, considered to be lot riskier than a regular counter trend swing trade. So if anyone goes short, the position size has to be reduced (to 1/2 or 1/3 of regular trade unit size only).
