Keeping a close eye on possible road map for USD/CAD. I will be looking for divergence on the momentum indicator as well as a higher price to complete the mini wave B of the Elliott Wave correction. Then, with the moving averages close to crossing and hopefully an easy to read candle stick at the top, the SELL will be on.
Comment:
Despite selling today and divergence on the momentum indicator, I have not entered a SELL trade. The volatility oscillator has shown a considerable move down but it is below what is considered a high move. Also, price has come down as a result but has not come down below the 11 MA. Therefore, I think there is a fair chance that the price will go back up tomorrow and the road map might still be on.
Comment:
Price has gone up slightly as predicted and so has the momentum (14) indicator. The momentum is still positive although below the 14day average. The daily chart is showing a flag/pennant pattern. I am not trading yet and will keep fingers crossed that the road map will still be valid into early next week.