Developing story
USD/CAD has found demand on a monthly support area which gives rise to an opportunity to target resistance as the five-month consecutive waterfall trend starts to correct.
The following flow of charts illustrates how the trade setup has been determined and why it offers a high probability opportunity for a favourable 1:3 risk to reward ratio.
Starting with the monthly chart, we can see that the price has indeed been rejected month after month and has picked up a bid at a strong level of support.
Monthly chart
Weekly chart
From a weekly perspective, the 1.34 area is likely to be a keen area of supply for which to target, but the highest probability trade on the table, for now, is found on the daily setup.
Daily chart
As illustrated, the price is correcting Wave 1 which offers the opportunity to target the 1.33 psychological level of Wave 3 as the price retraces to support structure.
4HR buy limit order
As the moves in to test the support structure, a buy limit will trigger the entry for a 1-3 risk to reward ratio.
The price action will be monitored from a 4HR timeline from entry to exit.
The positing should be managed with a stop loss that is moved to breakeven as soon as there is a new support structure formed above the entry.
원저자가 모두 저작권을 보유한 FXStreet에서 재 인쇄 함.
면책 조항: 본 게시글에 표현된 견해는 전적으로 작성자의 견해이며 Followme의 공식 입장을 대변하지 않습니다. Followme는 제공된 정보의 정확성, 완전성 또는 신뢰성에 대해 책임을 지지 않으며, 서면으로 명시적으로 언급되지 않는 한 해당 내용을 기반으로 취해진 어떠한 조치에 대해서도 책임을 지지 않습니다.
더 오래된 의견은 없습니다. 소파를 가장 먼저 잡으십시오.