Hello dear traders and friends, Let's take a look at CADCHF chart once more time and see the potential buying opportunity in this pair.
Last week, if you recall, the price managed to break above the 4-hour timeframe range area, and we were waiting for a price pullback to initiate a long position. This pullback indeed occurred, and we were able to secure a favorable position at the location marked by the previous green up arrow. You can review that trading idea by following the link below.
Once again, the price has reached the support area, which also serves as a 4-hour low. This means that for the bullish market structure to be maintained, the price should not close below this low. Otherwise, there is a possibility for the price to move towards the lower low.
For a more conservative approach to entering a position, we recommend waiting for a breakout above the short-term bearish trendline. This is a safer method for participating in the market, and if you observe a valid bullish breakout, you can set your stop-loss below the low.
The alternative and more aggressive method for trading this idea is to monitor the price at the current area and watch for rejections from the low. These rejections signify that the significant bearish candle is a false downside breakout intended to trap sellers and trigger buyers' stop-loss orders.
If you've found this analysis helpful, please take a moment to like, comment, or share your thoughts with me.
Last week, if you recall, the price managed to break above the 4-hour timeframe range area, and we were waiting for a price pullback to initiate a long position. This pullback indeed occurred, and we were able to secure a favorable position at the location marked by the previous green up arrow. You can review that trading idea by following the link below.
Once again, the price has reached the support area, which also serves as a 4-hour low. This means that for the bullish market structure to be maintained, the price should not close below this low. Otherwise, there is a possibility for the price to move towards the lower low.
For a more conservative approach to entering a position, we recommend waiting for a breakout above the short-term bearish trendline. This is a safer method for participating in the market, and if you observe a valid bullish breakout, you can set your stop-loss below the low.
The alternative and more aggressive method for trading this idea is to monitor the price at the current area and watch for rejections from the low. These rejections signify that the significant bearish candle is a false downside breakout intended to trap sellers and trigger buyers' stop-loss orders.
If you've found this analysis helpful, please take a moment to like, comment, or share your thoughts with me.
Comment:
Price failed to close below the low in 1Hour timeframe and formed a Doji, not a best sign but seems like something can happen...
Order cancelled:
Price end up breaking the low that it was very important to us, without giving us any proper price confirmation to go long.
So, for now we are monitoring this pair to see if any other opportunity arises.
So, for now we are monitoring this pair to see if any other opportunity arises.
