Description: As shown above we have FX:USDCAD . Currently we are , we have been in a
downtrend/Bearish channel since Late Janurary .Price started to narrow out beginning of May, Which we then saw a Leg out of the lows 1.24550 Historic Key Level
located at Prev Monthly Resistance.
With the FX:USDOLLAR & TVC:DXY gaining Strength Early stages
of last week we had a 450 pip move of the 61.8 retracement of the leg. Price has now reached Strong Resistance ( ORANGE TL ) at 1.31400 ( M
RES ) With the mentioned USD pairs also showing signs of exhaustion at those levels.
Not to Forget FX:USOIL considerable rise from around the same time period late January - Early Feb.
On USD Strength last week we saw OIL decline, however the current Scenario with Oil (Possible Long Retracement) coincides with my Short USDCAD outlook
Using these indicator/s: [200 ,50 20 EMA] : Weekly: 20,50 acting as magnetic Resistance Daily:200 safer Resistance 20,50 Resistance
[ ] : Weekly ASC , Daily TL Resistance ( ORANGE )
Duration: Long Term ( SWING )
Decision: I will short either on a retracement between 0.50 & 61.8 with TL Resistance OR On a break & Retest of the TL down into the ASC Trendline//Key Level.
Extended targets being Prev M Supp
TP 1: 1.27550
TP 2: 1.26900
TP 3: 1.25100
SL: 1.29250 - 1.29800
Thank you for viewing my idea. If you decide to take this trade,please leave a comment and a thumbs up. I will be happy to stay in touch to see how the setup is planning out.
Your also welcome to post you analysis below.
Remember to always trade your stratergy... Happy Trading
INDICATORS: Moving average,
ATTACHED CHART : YES