I haven't changed anything since I did my last idea on this. I told those during BoC news trading to buy and sell at the 50% fib. I did not take the sell as I am a BUYER of AUSSIE for the foreseeable future and I will have to counter this with how CAD moves with oil as time goes on. I am studying the effects of cad and oil on audcad. I have heard playing the extreme prices on daily work well on this pair. We have hit the price zone I expected to come into play. NOW we are looking for the INV head n shoulder pattern I kinda threw out there on the last idea pre-move of BoC jump and drop wave 5. Understand that POINT D has 2 points it can always hit. D1 or D2 which is a farther fib extension and gives a higher probability of reversal momentum.
Steps that have successfully happened in this idea..
- BoC rate was not changed as expected
- Wave 5 reversal came into play after the breakout of the pennant.
Point D2 was successfully hit giving the market a better discount on AUSSIE dollar.
How to handle this trade:
BUY STOP around D with a SL below the daily low of the wave 5 bell curve
What you shouldn't do: Try to catch a falling knife. wait for a reversal confirmation or bet low with a high range of +/- ratio if you are a swing trader.
Steps that have successfully happened in this idea..
- BoC rate was not changed as expected
- Wave 5 reversal came into play after the breakout of the pennant.
Point D2 was successfully hit giving the market a better discount on AUSSIE dollar.
How to handle this trade:
BUY STOP around D with a SL below the daily low of the wave 5 bell curve
What you shouldn't do: Try to catch a falling knife. wait for a reversal confirmation or bet low with a high range of +/- ratio if you are a swing trader.
