I do think this daily signal is bold and tells us a lot about this market and the quality of this uptrend.
But these markets are being far to spiteful right now to give us three green soldiers outta there. I am planning for worst case scenario. I bet we run the base of that daily bar and potentially lower before returning to the trend.
When USDCAD is testing highs, EURUSD is off its highs and vice versa. For USDCAD to make higher highs, EURUSD is going to need lower lows. I dont really think that's going to be the outcome, but EURUSD is looking weaker and weaker everyday so this idea is my sorta hedge against a weak EURUSD and hence a strong USD.
Thinking about it CAD has been strong ever since DXY has been above 90. Hmmph.
Question is where do you set stop on the long?
1000 pips seems rational. 1200 pip target!?!
Now that I've made the cautious call the market will probably rip higher. Comments? Questions? Concerns for my sanity? Let me hear it.
Disclaimer: Your data may be different. Material is educational only. Trade at your own risk!
The post will proceed just to see what happens with the setup.
If you had taken the long entry It would have been best to book profits before this weekend with geopolitical risks on the horizon.