Now that we've closed the New York session by putting in a LLLC below the 128.30's level, I'm now predicting to see a bearish continuation here on Canada. When will it happen? How will it happen? Who knows, that's the markets decision. All i can do is use my skills of technical analysis to try and make the best prediction that I can.
After being broken, previous structure is typically retested. In this case that would mean support turning to resistance. So what i'll be looking for is a chance to enter short as the market becomes exhausted and finds some relief.
The 129.00 price is a great psychological level, but my initial kill zone will begin as low as 128.50's. We'll be tracking this as the week progresses in my Live Trading Room but I'm certainly in no rush to "get involved" until my rules for entry are met.
With a handful of news events setting up for tomorrow including USD Retail Sales, PPI and CAD Monetary Policy/Rate Statement I'm in no rush to jump in a trade that I'm not 100% sure I want to be in.
Excellent day of trading today gang! And if you didn't see the video I produced explaining why that's not always a good thing make sure you head over to my Youtube channel and check it out.