USDCAD is showing a bearish trend on daily chart. After making a higher high on 20th August it made a lower high in one month time. Subsequently it made a lower low. The current peak 3 working days ago by a retracement to 0.5 FIB level may well be another lower high. DOW bearish seems to be in action. I am taking entry at current level after watching a daily closing below monthly support S1. I have placed stop loss just above weekly resistance R1. TP1 is at S2 monthly support and TP2 at S3 weekly support. ABCD pattern gives us another TP level at a very strong monthly support from where we can expect reversal.
Comment:
Cup and handle pattern formed in hourly and daily charts