USDCAD - Strong Trend Continuation - Trendline Bounce & Break

Hi Traders!
The market is in a Downtrend.

As always, let's look at the Daily Timeframe first:

So, we can see the market is strongly respecting the Daily Trendline.
We can identify the Trending Moves and the Consolidation Stages.
Pay attention to that the market is now near the Trendline again.

Now we switch to the main (H4) Timeframe.
The market is falling down after the consolidation.
It has fallen until the next Support and bounced off fastly.

Now it is in a Retracement move of the overall Trend.
It is here in a potential Channel (still need an upper touch to finally confirm it).
The Trading Idea is: Sell the bearish Breakout of the Channel / lower Trendline!

Here are some additional confirmations:

• Market in an overall Downtrend
  
• Market at Daily Trendline
  
• 200 Exponential Moving Average showing bearish Power
  

We recommend to trade the Breakout with a confirmation.


Thanks and successful Trading :)!

Kommentar:

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