Hey Traders,
The Canada 60 has been range bound for a while moving sideways with no real intent either way.
For this reason we can anticipate new short entries on a Tech basis.
Watch for more.
Bearish structure
LH, LL formation following
On Daily chart, the price is taking rejection from 78.6 % FIB level, causing another LH.
On Hourly chart, the price action continues.
Taking rejection from Hourly R
Support of Daily just below, from where it did react on Hourly as well.
If this Support breaks, a Short entry will be taken for target of the previous LL.
Got a spike form the $CADUSD falling apart this week but I think it fails up here and rolls over given the slurry of negative data and the rate cut. It had a very weak close like the $ES_F that looks to be failling levels, hopefully on the back of $XLF this time as financials are also a big part of the $TXSX
With the underlying economy not looking so great due to materials, mining, energy and a real estate market that is overheated, the TSX60 is more susceptible, in my opinion, than other markets to get sold off.
