Greetings traders!!! Let’s take a look at some pairs……
With an activated Head and Shoulders pattern, a bearish flag being broken, price below the neckline, it is looking good if you are short. EURUSD is expected to move lower towards 1.15. Above 1.1680 we start considering the false breakdown scenario and a full scale upward reversal for new highs.
Trading just above the long-term red trend line support after being rejected by the black downward sloping trend line resistance. A bounce off this red trend line could bring price back towards 1.34. A break above the black downward sloping trend line could push price towards 1.40.
Short-term support is just above 1.30 where we also find the 61.8% Fibonacci retracement of the latest rise.
Bearish divergence in the 4hour chart. Price still in bullish trend but with weak momentum.
Rejection at the 50-61.8% Fibonacci retracement area and cloud resistance. I remain bearish here looking at least a move towards 131.60.
The corrective bounce in USDCAD since 1.2060 is near completion if not already completed. I believe one more final higher high could come in USDCAD near 1.31 where the 61.8% Fibonacci retracement resistance is found. Short-term support is at 1.2680-1.2660.
Price remains inside the bullish channel and inside the Kumo (cloud) support. Despite the rally in oil prices the USDCAD has only turned lower recently….I believe the final thrust towards 1.31 will be given the same time with a pull back in oil prices towards 52$.
Thank you for taking the time to catch up on my thinking.