From the weekly perspective, price is creating an impulse followed by a correction, and expect new impulse to the downside. And from the daily perspective, price is sitting in the strong structure right now, if the price manages to break below this area, further downside is expected.
From the COT perspective, hedge funds are still bearish bias on CAD, and from the longer-term perspective, the total of short positions (58k) is greater than the total of long positions (23k), and they were added another 8.9k of the short positions in the latest week. in this case, may see CAD become weaker, and CADCHF will push to the downside.
The proper way to approaching this pair should be waiting for the daily price break and close below the strong structure I identify just now if the price manages to do it and create a new lower low, then I will be waiting for the retest before going to short, if there have shown one of the valid rules of me on the 4H perspective, I will take a nice short on CC with a good risk-reward. Otherwise, CC may reject from the strong structure area and continue to push to the upside.
Remember, always react to the market instead of predicting the market, this analysis is based on technical and COT perspective.
Comment down below and let me know your thought.
From the COT perspective, hedge funds are still bearish bias on CAD, and from the longer-term perspective, the total of short positions (58k) is greater than the total of long positions (23k), and they were added another 8.9k of the short positions in the latest week. in this case, may see CAD become weaker, and CADCHF will push to the downside.
The proper way to approaching this pair should be waiting for the daily price break and close below the strong structure I identify just now if the price manages to do it and create a new lower low, then I will be waiting for the retest before going to short, if there have shown one of the valid rules of me on the 4H perspective, I will take a nice short on CC with a good risk-reward. Otherwise, CC may reject from the strong structure area and continue to push to the upside.
Remember, always react to the market instead of predicting the market, this analysis is based on technical and COT perspective.
Comment down below and let me know your thought.