The Evening Star formation? USDCAD bearish domination.

The first candlestick is a bullish candle, which is part of a recent uptrend. The second candle has a small body, indicating that there could be some indecision in the market. This candle can be either bullish or bearish. The third candlestick acts as a confirmation that a reversal is in place, as the candle closes beyond the midpoint of the first candle. (To learn more about triple candlestick patterns: www.babypips.com/lea...candlestick-patterns). This pair was trading around a supply zone or resistance whatever you wish to call last night and we can see the price has been rejected one and two times in the past but this could be the third time price falling lower again from that same level and we could see seller are dominating during this post writing time. If the price couldn't break above this supply zone or resistance area which I have plotted using a rectangular-shaped box then I assume there's no hope to think further that the price could have any bullish/long scenarios. Until the price crosses above that key zone, I will think that price will move up and down inside the range between the upper supply zone and the lower demand zone from where the price has picked up in past. We know now the highest high and lowest low zone for the price where it probably can swing around so it's our time to act wisely and take advantage of this pair using any range-bound trading strategy. Don't forget to check the dollar_index ( DXY ) for further confirmation. Remember don't take much stress, just focus on day chart higher timeframe too and if you think the overall dollar index is weakening obviously USDCAD may also make U-turn lower.

Comment:

For Double confirmation focusing on DXY price movement in multiple timeframes.

DXY 1hour market structure View:

DXY Daily market structure View:

DXY Weekly market structure View:

Comment:

Dxy pulling back from the resistance zone in D timeframe.