USDCAD completed a nice looking expanded flat today and is ready to complete a high degree zigzag. Today's pull back has created a 3:1 profit to loss ratio trade setup. As a whole US Dollar index DXY is going to gain its strength in next 10 to 15 days, i.e DXY is ready for a bull run.
Nice idea on USDCAD and there may be bullish bias as you have identified. The first support that we have identified is at 1.2898, which lies just below your buy entry. It is a horizontal overlap support, with a 100% & 61.8% Fibonacci extension and 61.8% Fibonacci retracement. Stochastic is approaching its support at 1.7% where a corresponding bounce could occur. If a corresponding bounce does occur, we may want to look at 1.2960 resistance level. It is a horizontal pullback resistance with a 38.2% Fibonacci retracement. Looking forward to seeing how things develop.
Please have a look at our idea and share with us what you think.
Please have a look at our idea and share with us what you think.