Hi Traders, Here's my Analysis on UsdCad
Daily Timeframe:
Price action testing market’s 38.2 Fibonnaci retracement level, coming out of a daily resistance level. From here we may see the market make another attempt to break resistance at 1.3420. Failure would see potential fall to around 1.3100
Pin bar rejection at 4Hr support, which previously acted as strong resistance. This level is also in confluence with the 38.2 daily fib rejection. Bullish divergence is evident in the market structure on this timeframe as well.
On the 1Hr timeframe we are also seeing bullish divergence in the market, however we are seeing rejection in the market from the 1Hr resistance level.
My overall bias is LONG and to see price action hitting 1.3400- 1.3500 region. I will however be monitoring the price action on the 1Hr timeframe for added confirmation based on one of my trading strategies.
An entry will be taken only if all rules of my strategy are satisfied.
Add this pair to your watchlist and see if the rules of your strategy provides an entry.
Like and Comment your thoughts . All feedbacks are welcome.
If you are new to FOREX trading, here are the definition for words you may seen mentioned above.
Price Action: Change in the price value of a traded instrument whether Forex, Commodities or Indices.
Market Structure: This is classified as any group of candlesticks placed together with the use of Support, Resistance and Trendlines . once grouped they would provide a pattern to indicate a possible movement in price action.
Support: Areas in the market where price tends to reverse after a sell off (lower price action)
Resistance: Areas in the market where price tends stop, pause or reverse after bull run (higher price action)
Uptrend: price action in the market creating a series of high highs and higher lows.
Downtrend: price action creating a series of lower lows and lower highs Long: Taking a position to buy the base currency
Short: Taking a position to sell the base currency.
Daily Timeframe:
Price action testing market’s 38.2 Fibonnaci retracement level, coming out of a daily resistance level. From here we may see the market make another attempt to break resistance at 1.3420. Failure would see potential fall to around 1.3100
Pin bar rejection at 4Hr support, which previously acted as strong resistance. This level is also in confluence with the 38.2 daily fib rejection. Bullish divergence is evident in the market structure on this timeframe as well.
On the 1Hr timeframe we are also seeing bullish divergence in the market, however we are seeing rejection in the market from the 1Hr resistance level.
My overall bias is LONG and to see price action hitting 1.3400- 1.3500 region. I will however be monitoring the price action on the 1Hr timeframe for added confirmation based on one of my trading strategies.
An entry will be taken only if all rules of my strategy are satisfied.
Add this pair to your watchlist and see if the rules of your strategy provides an entry.
Like and Comment your thoughts . All feedbacks are welcome.
If you are new to FOREX trading, here are the definition for words you may seen mentioned above.
Price Action: Change in the price value of a traded instrument whether Forex, Commodities or Indices.
Market Structure: This is classified as any group of candlesticks placed together with the use of Support, Resistance and Trendlines . once grouped they would provide a pattern to indicate a possible movement in price action.
Support: Areas in the market where price tends to reverse after a sell off (lower price action)
Resistance: Areas in the market where price tends stop, pause or reverse after bull run (higher price action)
Uptrend: price action in the market creating a series of high highs and higher lows.
Downtrend: price action creating a series of lower lows and lower highs Long: Taking a position to buy the base currency
Short: Taking a position to sell the base currency.