This is the USDCAD Monthly Chart.
USDCAD is testing a strong Bearish Breaker (the last down candle before an up-move for a raid on Buy-Side Liquidity).
While testing the Breaker, we are currently creating a Swing-High. It was forming Higher Highs, made a reversal point, and now making Lower Highs instead. This tells us that momentum was initially Bullish, but now that we are creating Lower Highs on the other side of the curve - we should see price mirror itself (aka do the exact same thing on the other side of the curve - meaning that momentum is shifting and it should go Lower).
There are relative Equal Lows residing below current price which I expect price to sweep through. A FVG is also resting right below these Equal Lows, so could expect the Lows to get swept down into the FVG.
Because USDCAD is testing such a strong Breaker, I expect an explosive move lower.
With this, I will be framing a huge Bearish Bias for USDCAD, for Lower-Timeframes trades. Knowing what the Higher Timeframes are doing is crucial to trading Lower Timeframes with highly probable setups...
USDCAD is testing a strong Bearish Breaker (the last down candle before an up-move for a raid on Buy-Side Liquidity).
While testing the Breaker, we are currently creating a Swing-High. It was forming Higher Highs, made a reversal point, and now making Lower Highs instead. This tells us that momentum was initially Bullish, but now that we are creating Lower Highs on the other side of the curve - we should see price mirror itself (aka do the exact same thing on the other side of the curve - meaning that momentum is shifting and it should go Lower).
There are relative Equal Lows residing below current price which I expect price to sweep through. A FVG is also resting right below these Equal Lows, so could expect the Lows to get swept down into the FVG.
Because USDCAD is testing such a strong Breaker, I expect an explosive move lower.
With this, I will be framing a huge Bearish Bias for USDCAD, for Lower-Timeframes trades. Knowing what the Higher Timeframes are doing is crucial to trading Lower Timeframes with highly probable setups...
Order cancelled:
Due to my Bullish View on the DXY, and Bearish view on the Bond Market - I'm hereby not anticipating this anymore!
It could still play out, but as of now, I'm not interested in shorting UCAD.
(check my recent post on where I think the DXY is going. Whatever direction the DXY is going is where the USDCAD SHOULD also trade to due to their correlation. But as of now, I'm looking more into USDCAD BULLISHNESS because of what DXY is doing!
It could still play out, but as of now, I'm not interested in shorting UCAD.
(check my recent post on where I think the DXY is going. Whatever direction the DXY is going is where the USDCAD SHOULD also trade to due to their correlation. But as of now, I'm looking more into USDCAD BULLISHNESS because of what DXY is doing!