USDCAD has reach a resistance area at Fibonacci 50% that has been recently respected twice forming a triple top on daily and weekly time frame in confluence with the Yearly pivot point . Stochastic in oversold area showing some divergence increase chances of reversal.
OIL has also reach the bottom of the trend line channel into the previous resistance area that...
Look how the projection of BC leg at 1.618 meet the retracement of the XA leg at 0.886 ! This kind of alignment usually make the patterns stronger. Does that mean that the patterns already shows us the Brexit poll result? :)
A nice reward to risk potential of 2.28:1, but a safer SL would be below the previous low around 1.3825 for a RR of 1.5 :1.
Already seen on other pairs like GBPJPY, 2 patterns pointing in the same direction DO NOT mean that price will follow! However, in this case the price is at the monthly pivot point into what look to be a strong support area. BUT note the re-test of the Neck Line of the Head & Shoulder pattern.
Into a new up trend with a new higher closes and after the drop of GBPJPY following the Brexit poll results, A bullish Shark has formed into a bullish Cypher! We already know that GBP is a stronger currency than JPY so this drop is really a safe heaven flow.
If advanced patterns mean anything, we should see a reversal back to the up trend or at least a generous...
Possible short on OIL.
WTI begin to struggle to continue higher, rejected at 61.8% retracement into the previous support a symmetrical double top is forming around 41.75. Will we see a pull-back soon ? Let's wait the end of the day to see how it closes.
Here is a LONG opportunity on GBPJPY a bullish BAT a little extended over 88.6, but has reach 161 extension of the AB leg. The down trend started to loose momentum and few news from JPN and GB soon, we might see a nice rally.
For pattern longer term trader here is a nice bullish BAT pattern completed at 94.962
Entry @ Market around 95.38
Stop Loss around 91.355
Target 1 @ 99.277 FIB Retracement 0.382
Target 2 @ 102.005 FIB Retracement 0.618
This pattern meet all requirements for a bullish BAT, however, keep in mind that BoC has reduce the interest rate to 0.75% this week.
Good luck trader!
After closing above last september resistance level, this might be a trend rotation. Depending on how you trade the Butterfly pattern, this could be the EURO turning point! But the market is the only one that decide where to go, not you and surely not me, so be careful:)