Reason for SHORT : 1. A decreasing channel formed with A,B,C,D,E and we looking forward to F point. 2. Candles tested and rejected by a resistance at the level of fibo 0.5. 3. CAD raises in value last week due to crude oil. 4. Good risk : reward ratio ( Risk about 1%, reward about 2-3.5%) Can add SELL position once the candles break the minor support there.
Reason for SHORT : 1. Bear flag pattern possibly forming. 2. Doji formed below fibo 0.5 and also below a resistance area. 3.Good risk : reward ratio. Can sell once the third bearish candle successfully formed. Can add SHORT position once break the small increasing channel.
-Dragonfly candle formed below D1 resistance level. -SHORT position can be executed once the bearish candle formed below the D1 resistance level and add can more positions once break the support level. -Good risk : reward ratio.
Doji formed above W1 support level. Good risk : reward ratio. Let's buy.
A decreasing channel forming. -Candles are testing area around fibo 0.51. -SHORT position can be executed if candle bounce from fibo 0.618 or break the support level. -The increasing of price for crude oil causes increasing value of CAD too.
DXY possibly forming a bearish flag pattern. -The candle now is testing fibo 0.5. -If candle break fibo 0.5 then it is fail to form bearish flag pettern. -While, if candle fail to break fibo 0.5, can enter SHORT position. -Another SHORT position level can be enter once candle breaks the increasing wedge pattern (area below around) fibo 0.618. *US dollar is...