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arieg1985

Potential Short Position for USD/CAD_Trade Plan 2017.08.04

Short
U.S. Dollar / Canadian Dollar (OANDA:USDCAD)  
arieg1985  
OANDA:USDCAD   U.S. Dollar / Canadian Dollar
Trend Analysis Chart Patterns USDCAD short tradeplan daytrade
3
0
trendanalysis chartpattern usdcad short tradeplan daytrade
snapshot

Legend for price level, trend line, and rectangle:
Dark Gray > Weekly Level
Blue > Daily Level
Red > H4 / H1 Level
Green > M15 / M5 Level
Yellow > M1 Level

D1 and H4 are both showing the overall trend is still down with price hold below MA200.
For the last 2 days, in H1, price shows some momentum to the upside after succeeded breaks up confluences of resistance area around 1.25301 - 1.25452 (Price Structure, MA200, Major Down Trendline).
However, currently price also seems to form a Head & Shoulders Pattern above previous resistance area now turns to support.

Trade Plan:
If price break down the neckline and coming back down below the support, can consider to short the market to follow the overall downtrend.
With Stop Loss 30 pips and Target Profit 90 pips, the potential trade offers 3.00 Reward-to-Risk Ratio.
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