UCAD LONG - After forming a wedge on the daily TF around Feb 2019 we have been ranging sideways with confirmation from the 50 EMA on the 4h TF. With the ranging wedge offering up multiple short and long opportunities and seeing deceleration on the daily and consolidation on the 4hr we had signs of a reversal on the support level of the wedge. After breaking from the consolidation on the hourly TF to the upside and then retesting our 50 EMA we had confirmation of a short term trend change and a reversal to our resistance targets on the 4hr. After breaking even for the majority of the start of the trade we had a spike to the upside on the 22nd Jan following Governor Poloz's BoC speech, the main rate cuts were an unexpected turn, and was basically a U-Turn in the forecasted rates, however the unexpected cuts benefitted this UCAD long. We are now approaching 4hr target key level (200 pips / 4%) which is a major resistance level on UCAD for the 4hr and daily TF's.
UCAD having a hard time breaking through this most recent key level, after not much unexpected change in fundamentals and geo data we didn't get the momentum needed to break through to our target, still holding strong however, expecting the markets to find that momentum from high level liquidity areas 30 pips or so above the current level, once the S & R traders start executing their limit orders the markets should start to pack a punch to the upside to complete this move to the resistance level.
CIGSFX
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@CIGSFX, The home stretch. After breaking the minor key resistance level on the 1hr and 4hr we are now clear to take profit. Slow and steady climb on the last 10 pips before we can collect a solid 4%.
CIGSFX
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@CIGSFX, CAD: BOC speech at 20:15 causes some brief strength for the Canadian Dollar as it pushes the USD back through minor key levels of support, now piercing our 50 EMA and waiting for the potential rejection so we can finish strong and collect profit before market close tomorrow.