In theory, we've finished wave 5 of the Eliot wave and also formed an ending diagonal which usually transfers into bullish price action.
However, given the Dollars ropiness over the past few weeks, breaks of the resistance or support will determine our bias.
The Loonie broke the weekly support and we saw a freefall below 1.30.
Really cannot see the USDCAD breaking back above 1.30 now with the DXY crumbling and oil prices climbing.
The only question is where the pullback ends.
I've highlighted a 1hr zone of interest in yellow, where price stagnated creating a potential shelf for price to retest.
However, should...
I'm Bullish. I know, risky right?
Take a look at the weekly, at the daily, this big grey area is holding like a champ.
Keep an eye on 1.31100 but other than that, we should return to 61.8% given Toronto is back in strict lockdown.
Clear break and retest back above this key area and we've had a bullish 4hr closure now to hopefully confirm the next phase upwards as well as it sitting on a key Fib level.
USDCAD has made a head and shoulders pattern, now price has returned to the ema 89 and neckline of the h&s, now is a good time to short to trade the next leg down in dxy.
The Loonie has been in a strong downtrend on the higher timeframes ever since the March crash. However, we're approaching key MAJOR support and this is where the higher timeframes will be key.
We have weekly support but a weekly descending trendline. Which will break first? Only the market will tell us.
What we're looking at here, is the Head and Shoulders on...
So we always try to have a plan for both sells and buys but the #loonie looks long here.
It's currently sitting just above one of the strongest levels of support I've ever seen:
Key Key psychological 1.30 level
Weekly 61.8% Fib Retracement! (WEEKLY FROM JUNE 2017 SWING LOW!!!)
Previous September lows when the DXY was crumbling couldn't break this level!
So as...
as seen with this breakdown now looking at the overall price action on UC, i would be looking to take this long once we get the 3rd touch on that trend line we can see the double bottom area course this can go from there but i think it will push below that zone and then move from the outer structure.
December is quiet...
View on USD/CAD atm...
Stop loss very very tight but cant complain purely for banter....
3rd bounce... abcd pattern.... fib levels hit..... who knows its just art anyway
In July a new MPP was drawn.
Currently it is the situation that it will rise again with the support of new MPP (P) 1.31266 neatly.
Even if looking at the weekly chart, It have been slowly raising it for nearly 10 months.
Weekly chart
As a provisional up trend, I'd like to simply place a long.
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