TryouTrader

USDCAD continuing to slide after a rebound

Short
FX:USDCAD   U.S. Dollar / Canadian Dollar
165 views
0
FCK the fork is a mistake, i forgot to delete! sorry!!
What seemed to be breaking out from descending channel , which started in the beggining of June till the middle of September, is looking more and more as a correction to me. After breaking the resistance line in the end of October, the pair made two highs right one after another. If we see closer, even that second was the highest, the RSI and MACD data was lower, than the previous, pointing on weakness. Considering that the second high's peak was 50% from the bottom, the whole breaking out from the channel could be considered a correction to the descending trend.
When the pair breaks the 0.9875 line, we can expect he continuation of the descending trend, the destination is around 0.9650. i would recommend short stop, less than 100 tics, in my opinion, if the pair breaks down that line, it would be a long short position :))

Comments