NZDCAD Short: Wolfe Wave + Expanding Triangle at 50% Retrace

After the RBNZ announcement cancelled the last NZDCAD short, a new opportunity has presented itself. A bearish WW has formed with the touch of the 2-4 parallel confluent with the 50% retracement level. We also have a potential E point of an expanding triangle complete which may mark a larger reversal from these levels. On the daily chart, the pair is contained within a bearish expanding triangle and this could present an opportunity to ride it down toward point E on the larger TF. The unhit pivot for June 2016 presents a nice target at which to take profit.

Bearish Confluence:

• Bearish Wolfe Wave complete
  
• Expanding triangle
  
• 50% retracement level
  
• Descending expanding triangle on daily TF
  
• Unhit June, 2016 pivot below price
  
• Bearish RSI Divergence
  
• RSI Overbought
  

Again, be mindful of news events. It is a good idea to wait until the Poloz speech at 11:15EST for entry as this may present significant CAD volatility. Happy trading to all!

Comment:

3 Day Chart:

Trade active:

She's live baby

Comment:

Great rebound - we're up about 100 pips and all with under 2 pips of drawdown. Moving stops to breakeven as price approaches the top of the WW 1-3 line.

Trade closed manually:

Stopped out a breakeven