This is my plan for the USDCAD currency pair. After a very strong move down which started in May, the price has slowly made a correction from September till now, thus reaching a strong weekly at aroud 1.29-1.30. After touching this area the price started moving down again confirming that the is quite strong and it is possibly the end of the uptrend correction wave. As you can see on the H4 time frame where I made this plan we can notice a few things:
- The price bounced of the weekly and moved down and is currently staying in a consolidation period
- I have outlined a possible area which should act as a resistance on the lower time frames, so I do not expect the H4 uptrend in which we are now to break that area
- The indicator confirms the downtrend and the price is currently standing near the cloud which also acts as support or resistance
So my views regarding the USD/CAD pair are to short it. I have defined two Sell Zones in which we can look for Sell entries on the M30 or M15 time frame. As you can see between 1.2621 and 1.2649 I have outlined a possible H4 downtrend stoppage area. This is an area that might act as a small support and the pair might consolidate above it. The real target here is for the price to reach the Weekly around 1.25 or a little bit below that. Below you can find the zones and follow us on Twitter for Live Signals based on this pair.
Sell Zone 1: 1.2775 to 1.2650
Sell Zone 2: 1.2620 to 1.2530
I wish everyone a profitable month! :)