Looking High till new top!
- #15,503
- Feb 24, 2020 6:09am Feb 24, 2020 6:09am
- Joined Jul 2009 | Status: The Alchemist | 8,917 Posts
- #15,505
- Feb 25, 2020 11:13pm Feb 25, 2020 11:13pm
- Joined Apr 2019 | Status: Trader | 3,132 Posts
#USDCAD / Weekly 
USDCAD
Look at this chart.
We had overbought conditions on Ratios (1), overbought instance (price stepped up above the pink trend line - 2), many stop-losses were triggered there (3). All factors were suitable for bears to attempt to establish a new down-movement. They tried, in fact (4). However, after the Monday gap, the price reached a new high today (5). Why bears did fail?
The answer (as often comes from the bigger timeframe). This situation happens very often with traders who miss analyzing the global movements. Here is the 3d chart.
We have here orange lines of the major trend-channel (6-7). Study the cases, when USDCAD did bounce with orange lines (I used green arrows to outline reversals).
8) Christmas Trap in 2018. Price made the fake breakout but reversed down in January/2019.
9) Christmas Trap in 2019. Price made the fake breakdown but reversed up in January/2020.
10) The recent indication in volume is bullish - this is No_Supply (diminishing volume amid a decline in price). A lack of traders wants to buy CAD. That is why the current movement has a bullish power.
In the global view, I project a long-time target around 1.37.
Look at this chart.
We had overbought conditions on Ratios (1), overbought instance (price stepped up above the pink trend line - 2), many stop-losses were triggered there (3). All factors were suitable for bears to attempt to establish a new down-movement. They tried, in fact (4). However, after the Monday gap, the price reached a new high today (5). Why bears did fail?
The answer (as often comes from the bigger timeframe). This situation happens very often with traders who miss analyzing the global movements. Here is the 3d chart.
We have here orange lines of the major trend-channel (6-7). Study the cases, when USDCAD did bounce with orange lines (I used green arrows to outline reversals).
8) Christmas Trap in 2018. Price made the fake breakout but reversed down in January/2019.
9) Christmas Trap in 2019. Price made the fake breakdown but reversed up in January/2020.
10) The recent indication in volume is bullish - this is No_Supply (diminishing volume amid a decline in price). A lack of traders wants to buy CAD. That is why the current movement has a bullish power.
In the global view, I project a long-time target around 1.37.
Oleg Alexandrov, market analyst. Find me in Google
- #15,507
- Mar 1, 2020 3:40pm Mar 1, 2020 3:40pm
- Joined Apr 2019 | Status: Trader | 3,132 Posts
#USDCAD / Weekly & H4 
- #15,512
- Mar 8, 2020 9:12pm Mar 8, 2020 9:12pm
- Joined Jul 2011 | Status: Gold Again | 10,567 Posts
{quote} Crude will go down to 50 a barrel and cad will follow
It takes a lot for me to IGNORE you, but you can try.
