Within the bigger picture of lower highs and lower lows UsdCad is retracing up. I expect the swing high to hold in red and the inset swings to advance up to the supply zones. It is not shortable at this point with the inset swings advancing up, they would need to reverse and start falling - lower highs and lower lows. If price breaks the swing high in red then I would expect a higher low.
Comments
kate25
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kate25
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I do not want to be in a position of anticipating - so what we have is the swing low inset in place - it cannot be broken for price to go up - what we need is a higher high - no homeruns here - just base hits to 1.3045 low 1.2992 plus spread plus 3 to hold low
kate25
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Inset swings are rising, options are to long now as long as the inset and majoy swing lows are not crossed below
kate25
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price is in supply see if it will be held here - first target is the swing low price created then the break of it
Price has now fallen through the swing low so we expect a lower high on return - the swing high circled in brown needs to hold price down
kate25
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with a lower swing high instead of chasing the price we anticipate a lower high on the return - Ill waiat to see if price comes back up and short from there
kate25
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Now given all this, it is Sunday and price could gap up or down and change our swings
kate25
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It does not matter what tf trader you are this plays out exactly the same on all timeframes - I prefer the smaller timeframe for day trading. These lower swings are rising and each swing is a structure - these structures are designed to keep price moving up untill it cannot any more - a larger amount of opposing orders it runs into. If the swings are rising then we understand that the swing lows remain intact and the swing highs fall away to new highs. So given that when the swings are rising you would not want to short as it would be a retrace and the trade would be longer and more difficult - you want to long as this is the best trade for swings that are rising, it will be a quicker more profitable trade