Hi All, hope you had a great week this week in trading. I wanted to get this out before next week.
Here we have a potential shorting opportunity on USDCAD, presenting us with a higher probable trade.
We have the following which provides us with more than just an advanced pattern.
1. Cypher Pattern 2. Previous Resistance at the BAT B leg which is close to our 61.8% Level 3. Previous Support Level which we would hope would become resistance support right inline with the 78.6% 4. 78.6% Retrace From X to C Move 5. 61.8% Retrace From the High structure point to the low Structure Point 6. If these break we have the X leg Resistance which we hope would remain resistance if reached 7. Another resistance level which I have put stops just above the 113% to clear this structure point 8. Fibonacci Confluence being the 78.6% and 61.8% as mentioned in 4 and 5 9. Bearish Pair at present
So this presents us with a pretty good case or reason for entry if price gets there.
I have also drawn another green arrow if we hit this pattern and all targets, I would hope to see this Pair Climb and it will present us with another Pattern, if price hits 78.6% and Drop we could have a BAT pattern form, if we hit the 61.8% then we may see a Gartley.
I will continue to monitor this pair and publish anything I find through next week.
As always Stops Entries Targets
Green Entry - just below 78.6% to ensure we get filled Red Stops above X Leg Blue - Target 1 38.2% and Target 2 61.8% - Retrace from C to D move - targets to be adjusted on D completion
If price closes beyond 1.414% Fib Extension or Price level 1.28119 at the C leg of this Cypher the pattern is invalid
Depending on what happens next week if you take the X to C move here we could have a BAT Pattern form as well, we would use the current Cypher X to C as the X to A move for the Bat and this would be great having Advanced Pattern Cluster
Good luck next week and have a great weekend.
Comments
Oztrade
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So we have just hit Target 1 for our change in this pattern - for +47 Target 2 we are looking at the 129179 area. Stops moved down to B.E
Oztrade
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I chose to use the highest Structure Point and the 88.6% entry for another signal that I had after posting this chart - and looks to be well worth taking this because initial Cypher was invalid
Oztrade
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With this trade I took the entry higher as mentioned - we have had a break and close above previous structure which generally indicates price will increase, lets see if we can get a retrace back to our Target 1 so we can protect our second position with the stop at our entry level.
Oztrade
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I have chosen a higher entry on this chart 88.6% from the highest structure point