This doesn't give you a trade idea. it gives you a recap on how the cycle develops and the price develop due to the current volatility. it can be used to give you a fundamental reflected technical analysis. Cause the price action tell everything on the fundamental.
too much strong rally due to USD strengthen.
too much strong rally due to USD strengthen.
Trade active:
Fundamental adjustment plus the techinical position is too heavy on the long side, this will cause the squeeze effect and people rush to cover their position if there is any dovish statment. Whether is currency lead the oil price or oil price lead the currency. it doesn't matter
Comment:
USDCAD will reverse back to the middle of the upper trend. As the previous up is to shape and fast, it is too pessimism of CAD.
Comment:
uptrend hold the support nicely.