LeeThompson97

USD/CAD Short - Trendline Rejection

Short
FX:USDCAD   U.S. Dollar / Canadian Dollar
Price has touched the bearish trendline (blue) 3 times now, price has reached an area of resistance (as shown by the yellow box) and is also in a key Fibonacci retracement zone. Finally, on the daily timeframe we also have a reversal candle, which closed at the trendline. With this in mind, this is a great opportunity for a short as stops can be placed just above the trendline and the profit target can be towards the bottom of the smaller bearish trendline , therefore giving us a great risk/reward ratio.