As CADJPY has broken channel support and approaches monthly support, we are anticipating a relief bullish rally to retest the broken support as what will now be resistance before push to the downside. This is a monthly view so this could take some time for the H&S rule to play out. Should price break below the neckline before pushing up to test the broken channel as resistance, we will wait for a retest of the neckline and wait for a rejection from this zone to continue the move down, on the lower time frame however, should price reject from the current support, we will look for short term buy opportunities, before engaging in the long term short.
For more details on how we use candlesticks to forecast future price, check out this free YouTube content - Forex Basics 1.0:
youtu.be/7Ai4Fm5VF9s
For more details on how we use candlesticks to forecast future price, check out this free YouTube content - Forex Basics 1.0:
youtu.be/7Ai4Fm5VF9s