MARKET PHASE
EURCAD
is in a long term uptrend (daily) with a short term corrective structure that has been taking place (4 hour).
AREA OF VALUE
There was a buildup of liquidity (sell stops, shorts, long order stop losses) below the corrective structure swing lows. Price violently moved down to trigger the sell stops (liquidity) to pair against the buy orders needed to take price up. Price has started it`s initial move up but due to the velocity of the downward move, it's gapped orders around 1.47110. Although price has already retraced back to this level and violently continued its move up as we expected - we had skipped this trade to avoid correlation risk with a
GBPCAD
trade at that time. Now price has been steadily making its way down to the same 1.47110 level, it's likely we may see a second leg up.
TRADE
I will be entering long on
EURCAD
with the following parameters:
Sell Limit: 1.47110
Stop Loss: 1.46565
Take Profit: 1.48200
EURCAD
is in a long term uptrend (daily) with a short term corrective structure that has been taking place (4 hour). AREA OF VALUE
There was a buildup of liquidity (sell stops, shorts, long order stop losses) below the corrective structure swing lows. Price violently moved down to trigger the sell stops (liquidity) to pair against the buy orders needed to take price up. Price has started it`s initial move up but due to the velocity of the downward move, it's gapped orders around 1.47110. Although price has already retraced back to this level and violently continued its move up as we expected - we had skipped this trade to avoid correlation risk with a
GBPCAD
trade at that time. Now price has been steadily making its way down to the same 1.47110 level, it's likely we may see a second leg up. TRADE
I will be entering long on
EURCAD
with the following parameters: Sell Limit: 1.47110
Stop Loss: 1.46565
Take Profit: 1.48200
Trade active:
Trade entered @ exactly 1.47110