Reasons for this setup
we have been making lower lows (indication of down trend)
bounce of Fib level 50%
bounce of bearish trend line
there are numerous long wicks on the daily to the upside which could indicate more sellers in market and buying pressure drying up and every wick unable to make a new high (Daily chart)
5 wave move is evident as we have one last leg to take out it is playing out as a continuation pattern
we also have a nice bearish push of key psychological level at 1.0000 putting in strong bearish candles
Also with the incoming strength of oil CAD looks ready to gain some strength
COT report indicates Oil is gearing up for some buying pressure so therefore effecting CAD in a bullish push
This setup is an aggressive setup as we are in a descending triangle and entering before any breakout is risky but I am telegraphing the move early which is risky but I fancy my chances on this setup
Also id like to add this is a longer term trade
My entry 0.9937
Risk nothing more then 2% per trade
my risk on this trade is 1%
Best of luck to everyone trading
we have been making lower lows (indication of down trend)
bounce of Fib level 50%
bounce of bearish trend line
there are numerous long wicks on the daily to the upside which could indicate more sellers in market and buying pressure drying up and every wick unable to make a new high (Daily chart)
5 wave move is evident as we have one last leg to take out it is playing out as a continuation pattern
we also have a nice bearish push of key psychological level at 1.0000 putting in strong bearish candles
Also with the incoming strength of oil CAD looks ready to gain some strength
COT report indicates Oil is gearing up for some buying pressure so therefore effecting CAD in a bullish push
This setup is an aggressive setup as we are in a descending triangle and entering before any breakout is risky but I am telegraphing the move early which is risky but I fancy my chances on this setup
Also id like to add this is a longer term trade
My entry 0.9937
Risk nothing more then 2% per trade
my risk on this trade is 1%
Best of luck to everyone trading
