USDCAD H4 - Descending Head & Shoulders Emerging
On the
USDCAD
4 Hour Chart there is a potential multi-term SHORT setting up.
ANALYSIS
There is a Head and Shoulders Pattern that is either still in the making (see the Potential Right Shoulder Zone) or has been confirmed with the recent pull back from 1.25200. We have a range of support between 1.23165 and 1.24335. If our Right Shoulder has been formed at 1.25200, then we will be watching to see if the price gets down into the support range. Once inside the support range, we will be looking for a break of the Descending Neckline. A Best Potential Entry Set-up would be if we get a break of the neckline where 1.23165 and the Descneding Neckline converge. This would increase the probability of our analysis and hypothesis for
USDCAD
. If we break the Upper Bearish Channel Trend Line, then negate this analysis and check the charts for new set-ups.
ENTRY
At Market upon the break of the Descending Neckline
STOP
We will use the measurement of pips from the top of our support range to the top of the head. That measurement is 165 pips. Therefore, upon entry we will set our stop at 165 pips from entry.
TARGETS
Short Term Target - 1.23450 (Partial Close of 60% of open position & move Stop to Break Even) - if 1.00 lots then close .60 lots of your open position, leaving .40 lots to run
Medium Terms Target - 1.22500 (Partial Close of 50% of open position & move Stop to Target 1) - close out .20 lots of your open position, leaving .20 lots to run
Long Term Target - 1.21000 (Partial Close of 50% of open position and use trailing stop of 30 pips) - close out .10 lots of your open position, leaving .10 lots to run and trail
Published on 10/14/17
USDCAD
4 Hour Chart there is a potential multi-term SHORT setting up. ANALYSIS
There is a Head and Shoulders Pattern that is either still in the making (see the Potential Right Shoulder Zone) or has been confirmed with the recent pull back from 1.25200. We have a range of support between 1.23165 and 1.24335. If our Right Shoulder has been formed at 1.25200, then we will be watching to see if the price gets down into the support range. Once inside the support range, we will be looking for a break of the Descending Neckline. A Best Potential Entry Set-up would be if we get a break of the neckline where 1.23165 and the Descneding Neckline converge. This would increase the probability of our analysis and hypothesis for
USDCAD
. If we break the Upper Bearish Channel Trend Line, then negate this analysis and check the charts for new set-ups. ENTRY
At Market upon the break of the Descending Neckline
STOP
We will use the measurement of pips from the top of our support range to the top of the head. That measurement is 165 pips. Therefore, upon entry we will set our stop at 165 pips from entry.
TARGETS
Short Term Target - 1.23450 (Partial Close of 60% of open position & move Stop to Break Even) - if 1.00 lots then close .60 lots of your open position, leaving .40 lots to run
Medium Terms Target - 1.22500 (Partial Close of 50% of open position & move Stop to Target 1) - close out .20 lots of your open position, leaving .20 lots to run
Long Term Target - 1.21000 (Partial Close of 50% of open position and use trailing stop of 30 pips) - close out .10 lots of your open position, leaving .10 lots to run and trail
Published on 10/14/17