The #1 on my hot list right now is USD/CAD only going short, I originally saw this trade setup on the which is what controls everything so I dropped down to a 4HR chart to break down the exact levels we need to watch for, before we take this bad boy selling!
Some will be looking to grab some movement to the upside, but as strict investors that focus on what the Daily is showing, we are going to hold off on any positions until we get a clear signal to go short. On the you can see we have been at a clear smooth uptrend, but the last week or so we have gone side ways. This is signaling to me that the uptrend is running out of steam and will need to retrace to the downside.
Now if you are a member of http://www.PipsUniversity.com you will get the text via WhatsApp on when we enter, however, if you are not a member I have labeled major areas that you guys need to heavily focus on to enter short.
The first level of resistance is at 1.25350 which is the green line and numbers on this chart, the second level of resistance I see is at 1.25880 and that is the salmon colored line, the third level of resistance is at 1.26630 which is the orange line and finally the last level of resistance I see is at 1.27950 which is the red line and numbers on top!
These are extremely important and ones you need to watch like a hawk, because at any second since this trend is already showing signs of weakness it can drop heavily very easily. I personally think it will push up to the orange line at 1.26630 and then it will go short.
Eventually once it breaks the final support at 1.23100, it will drop to 1.21140 most likely, no guarantee's obviously but it is the only reasonable target that we can see previous resistance at that will now be our final floor. This could easily be a 500-1000 pip trade, so once we get in it we most likely will be holding it for a while, unless we decide to drop down to a 1hr chart and swing it on every retracement, it just depends on how much time we have.
Hopefully this will help you guys out and we have some wicked gains! :)
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Good luck & happy trading!