USDCAD: Massive Triple Breakout Complete, the Next Leg Up

Jul 10

Hi!

This USDCAD setup is looking incredibly bullish after clearing multiple major technical structures at once. We officially have three massive confirmations on the daily chart:

1. The long-term descending trendline is broken,
2. The inverse head and shoulders pattern is broken,
3. And the massive macro double bottom neckline has finally been cleared.

Right now, the price is trading around 1.41290 and starting a healthy correction back down. I'm expecting this short-term pullback to retest the broken neckline area, which should act as strong support and give us a solid base for the next push.

Once this correction finishes and buyers step back in, I am targeting two main levels on the way up:

• Target 1: The Inverse Head and Shoulders target resting right around 1.43000.
• Target 2: The macro double bottom target up at the 1.45500 mark.

Just waiting out this temporary pullback to catch the continuation higher.


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Jul 14

Trade active

Jul 21

Note

The short position has successfully hit its target!

Now let's see if we get confirmation for a long entry from here.

Jul 21

Note

The CPI report came in below expectations, weakening the Canadian dollar and pushing USD/CAD higher. 📈